A boss that affects 29 billion when everything is bad, it’s a bit daring. However, this is the equivalent of what Tesla offered to Elon Musk on Sunday in the form of actions (this represents 25 billion euros). Despite the financial difficulties of the automotive company, maintaining the promises of remuneration for your boss seems to be a way to keep it at all costs.
On July 23, Tesla announced that its net profit for the second quarter of the year was down 16 %. This drop can be attributed to the fall in sales of vehicles of the brand, which itself is explained at least partially by the unpopular image of Elon Musk. The involvement of the big boss of the brand with the US government of Donald Trump had justified several boycott calls since January.
“To remember Elon is more important”
It is actually a seven -year -old business. In 2018, Tesla shareholders valued a remuneration plan for Elon Musk. The latter provided for the payment of $ 56 billion in Tesla shares, conditioned on achieving several objectives over ten years. A delaware judge, seized by a shareholder, canceled it in January 2024. The decision estimated that the board had received “deceptive” information before this vote. In mid-June 2024, the payment was again validated, then rejected by the courts a second time, before Tesla appealed this decision.
For some Tesla shareholders, the payment of the plan constitutes a priority: “retaining Elon is more important than ever before”, specifies the company. The billionaire had suggested that he could leave Tesla if he did not get more actions to strengthen his control over the company. And despite several rumors in the spring, the other managers of the automotive manufacturer do not seem decided to get rid of him, despite the tarnished image that the conservative billionaire takes.
Tesla will bet on electric cars
His supporters do not seem to blame Elon Musk his political commitments which have a time far from his entrepreneurial activities. If the billionaire launched his own “America Party”, he left the Department of government efficiency within the Trump administration. His commitment and conservative positions had motivated several boycott movements that were able to play on Tesla’s results. “If we consider that Tesla is above all a automotive company, then the results are disappointing,” noted Adam Crisafulli, founder of the Vital Market design Knowledge, in a research note published on July 23 and reported in The world. If we consider that Tesla is a giant of artificial intelligence and robotics, then the results of the second quarter do not change the group’s prospects. »»
Because yes, after electric cars, the group is now putting on taxi robots. The former were launched in June in Austin in Texas. For Tesla and Elon Musk, that’s for sure, everything will be better when automatic driving is generalized. Unless. Friday, a Florida court considered Tesla as partially responsible for a fatal accident in 2019 involving a car with the “automatic piloting” option.