Musk: "Must Secure 25% Tesla Stake for AI and Robot Research"

Holding 411 Million Shares... 13% Stake
Interpreting Tesla's Moves to Strengthen Control

On the 15th (local time), Elon Musk, CEO of Tesla, stated that it would be difficult to develop Tesla as a leader in artificial intelligence (AI) and robotics without securing at least 25% of the voting rights.

He posted on X (formerly Twitter), saying, "I have enough influence within the company, but if I don't secure enough shares to overturn decisions, I prefer to make products outside of Tesla." He emphasized that securing 25% of Tesla shares is necessary to stably conduct research on AI and robotics within the company.

Elon Musk Tesla CEO [Photo by Yonhap News]

According to CNBC, Musk currently holds approximately 411 million shares, equivalent to about 13% of Tesla's stock. This is the largest stake held by a single shareholder. CNBC explained, "Considering that Musk sold Tesla shares in 2022 to finance the Twitter acquisition, this is still a significant stake."

Additionally, Musk stated in a separate post that a dual-class voting structure would be acceptable to secure 25% of the voting rights. However, he added that he heard it is impossible to change the voting structure after an initial public offering (IPO).

Musk claimed that Tesla is a conglomerate of 12 startups. He also said that Tesla should be compared to General Motors (GM), one of the traditional leaders in the automotive industry. He questioned, "Other shareholders like Fidelity own as many shares as I do, which should be enough motivation, but why don’t they show up to work?"

This statement contrasts with Musk’s previous claims that Tesla is not a car company but an AI and robotics company. Last year, when Craig Irwin, senior research analyst at Roth Capital, said on CNBC that Tesla was massively overvalued compared to the Japanese automaker Toyota, Musk responded, "The benchmark is wrong. Tesla is an AI and robotics company." In Tesla’s Q3 2023 financial report, the company also explained that it focuses on AI, robotics, and automation products and services. Tesla has invested over $1 billion (approximately 1.3315 trillion KRW) in the Dojo supercomputer project.

The reason Musk brought up expanding his stock holdings, even contradicting his usual statements, is interpreted as a move to strengthen his control over Tesla. CNBC evaluated, "Musk’s desire to control Tesla more will put pressure on Tesla’s board of directors this year."