Elon Musk, the CEO of Tesla, made a dramatic intervention during a recent earnings call, passionately advocating for the approval of his proposed $1 trillion mega pay package. Towards the end of what was largely a discussion focused on Tesla's advancements in artificial intelligence, humanoid robots, and self-driving technology, Musk directly addressed investors and harshly criticized shareholder advisory firms that have recommended against the unprecedented compensation plan.

Interrupting the chief financial officer as the more than hour-long call neared its conclusion, Musk declared, "There needs to be enough voting control to give a strong influence, but not so much that I can’t be fired if I go insane." His remarks underscored a recurring theme for him: that sufficient voting control within the company holds more significance than mere monetary compensation. He further expressed his disdain for advisory firms, stating, "I just don’t feel comfortable building a robot army here, and then being ousted because of some asinine recommendations from ISS and Glass Lewis, who have no freaking clue." Shareholders are scheduled to vote on this colossal pay package on November 6.

Musk's fervent appeal came against the backdrop of a largely disappointing Q2 earnings report for Tesla. The company's profit fell short of analyst estimates despite achieving record vehicle deliveries. Operating income experienced a significant plunge of 40% in the third quarter, a clear indication of the sustained pressures on the electric-vehicle business, which is navigating evolving US policies. Tesla also faced sharply rising costs, with tariffs alone imposing a more than $400 million burden on the last quarter’s results. Consequently, operating expenses surged by 50% to $3.4 billion within the same period. Following the earnings release, Tesla shares dropped by as much as 5.7% shortly after regular trading commenced, even though the stock had seen an almost 9% increase for the year, still trailing the S&P 500 Index's 14% advance.

The proposed payout to Musk has drawn considerable scrutiny, particularly from influential proxy advisers. Institutional Shareholder Services (ISS) and Glass Lewis both advised investors to reject the award. ISS cited "unmitigated concerns" regarding both the sheer magnitude and the fundamental design of the compensation package. Glass Lewis, on the other hand, raised issues related to its potential to dilute the ownership stakes of other shareholders. Following Musk's impromptu remarks, Tesla CFO Vaibhav Taneja resumed his closing statement, commending the special board committee for its "amazing job" in structuring the award, and twice more urged shareholders to vote in favor of the plan, emphasizing that "There’s nothing which gets passed on until the time shareholders make substantial returns."

Elon Musk, currently ranked No. 1 on the Bloomberg Billionaires Index with an estimated net worth of about $455 billion, continues to prioritize long-term control and influence over direct financial remuneration from Tesla, as evidenced by his statements and the ongoing debate surrounding his pay package. His intervention highlighted the deep divisions and intense stakes involved in the upcoming shareholder vote.