Introduction to the Controversy
Renowned TV host Jim Cramer has weighed in on Tesla’s self-driving, robotics, and AI push, defending CEO Elon Musk’s $1 trillion pay package. Cramer believes that Musk’s vision for the company is worth the investment, despite opposition from proxy advisors.
Tesla’s Self-Driving Alternative
Cramer stated that Tesla has the “best self-driving alternative on a price basis.” He also noted that the company’s energy storage business could be a key driver for growth. Musk has put AI to the test, recognizing the potential for better and bigger batteries to address the country’s energy needs.
Key Points
- Tesla’s self-driving technology is a major competitive advantage
- The company’s energy storage business has significant growth potential
- Musk’s use of AI is driving innovation in battery development
Cramer’s Defense of Musk’s Pay Package
Cramer has defended Musk’s pay package, urging the company to give him the package “he wants.” He believes that Musk is worth the investment, saying “hate him or like him, man, this guy’s real smart.” Cramer also noted that Musk is unlike many other CEOs, who do not deliver the same level of innovation and growth.
Musk’s Response to Critics
Musk has criticized proxy advisors, calling them “corporate terrorists” for their opposition to his pay package. He has also defended his position as CEO, noting that Tesla is worth more than all of its competitors in the auto industry.
Tesla’s Robotaxi Plans
During the company’s third-quarter earnings conference, Musk shared that Tesla would be removing onboard safety operators from its Robotaxis in Austin by the end of 2025. However, he backtracked on the promise of Robotaxis serving half the population of the U.S. by the end of the year, instead aiming to offer the service in 8-10 major cities across the U.S.
Key Updates
- Tesla will remove onboard safety operators from its Robotaxis in Austin by the end of 2025
- The company aims to offer Robotaxi services in 8-10 major cities across the U.S.
- Musk has defended his pay package and criticized proxy advisors for their opposition
Conclusion
Jim Cramer’s endorsement of Elon Musk’s $1 trillion vision is a significant vote of confidence in the company’s future prospects. Despite opposition from proxy advisors, Musk remains committed to his vision for Tesla, and the company continues to innovate and drive growth in the tech industry.