Elon Musk Wants to Build an "Enormous Robot Army." Here's What That Means for Tesla and SpaceX Investors.
Elon Musk is fighting for complete control of Tesla's voting power.
Elon Musk has been focused on regaining majority voting control over Tesla, where his primary concern lies in the control over new products, specifically humanoid robots. Musk expressed his concern during a recent investor meeting, questioning whether he would be ousted if he builds a large robot army. Regardless of investors' opinions, Musk aims for supreme control over Tesla's daily operations. This has significant implications for both Tesla and SpaceX shareholders.
A merger between SpaceX and Tesla has been speculated, with both companies launching committees to explore the potential benefits of a merger. Musk's negotiated pay package at Tesla initially included milestones that would trigger additional stock grants upon the deployment of one million humanoid robots. However, some analysts argue that Musk's focus on an "enormous robot army" is merely a distraction from his true goal: complete control.
Musk's pay package at SpaceX grants him further voting power before the shares are even issued, giving him roughly 85% voting power at SpaceX. With 20% voting power at Tesla, a merger between the two could ultimately grant Musk majority control over the combined entity. SpaceX's IPO prospectus included ambitious long-term plans, while Tesla aims to maintain its high valuation through promises of robot armies and self-driving cars.
Investors should delve deeper into these claims, understanding that the proposed merger may be driven more by Musk's economic incentives than the best interests of shareholders.
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