Overview of the Tesla Shareholder Meeting 2024

Overview of the Tesla Shareholder Meeting 2024

First off, here are some resources to dig in yourself:

• LIvestream link to the 2h26min meeting, Musk walks on stage at 42:30.

• Pdf of all 33 slides shown on the meeting by Musk.

The slides also started with some refreshing self-awareness here:

Tesla will pay the man

A lot of Tesla executive and employee Elon-praising posts, some real Tesla ads, and a shareholder-initiated rally for everybody to vote later…

…Elon Musk’s $56B pay package was approved (or rather, re-approved) by 72% of shareholders. That’s nearly the same as 73% in 2018. Tesla’s largest shareholder with $39B worth of Tesla stock, Vanguard, said it voted for the pay package this time, even though it voted against in 2018.

Texas reincorporation was approved by 63%. You can find votes for all proposals in this SEC filing. Greg Abbott, Governor of Texas, said “Welcome to a state that has neither a personal nor a corporate income tax.”

Tesla didn’t wait around to get out of Delaware either — and right on the same day of the shareholder meeting wrote in the press release it has already “submitted all filings to effectuate its conversion into a Texas corporation and can confirm that the Company is now incorporated in Texas.”

Kimbal Musk was also re-elected to the Tesla Board of Directors for another 3-year term.

Personal note: the way Tesla retail shareholders came together is nothing short of amazing. All of this was well enabled by Alexandra Merz’s (@TeslaBoomerMama on X) great work in making sure everyone could vote.

Tesla retail shareholders hold ~45% of $TSLA, worth about $255B.

Tesla shareholders were signing the “Don’t mess with Tesla Retail Shareholders” banner that Alexandra had made and put up in the lobby.

Here’s the updated Tesla ecosystem map including AI:

On new models: Musk says “we got some new products we're working on. They're going to be pretty special. Just wait, they will be."

On Cybertruck: Musk also says Tesla will end the Cybertruck Foundation Series production soon, and start producing the regular versions next quarter. It should start at <$80k and thus be eligible for the $7,500 tax credit in the US too.

Tesla plans to ramp up the CT production to 2,500 units/week by the end of the year. So far, Tesla hit a weekly Cybertruck production record of 1,300. Musk also confirms that China and Europe-compliant Cybertruck coming after production is scaled and costs are reduced.

On FSD: Musk said Tesla will allow free FSD transfers for one more quarter. He also said two free weeks of FSD will be given to all Tesla owners whenever a major FSD update hits. He has said before that 12.4 and 12.5 subversions are actually essentially massive updates.

He also said Tesla is “headed towards Unsupervised FSD”, and they expect a 2-5x increase in performance between versions. For some internal builds, they’ve reached 10,000 miles between interventions.

Musk said Tesla is not compute-limited for FSD, but scenario-limited. Musk expects a total of $5-10T (that’s a Trillion) valuation for autonomy and $20T for Optimus bot.

Tesla’s Hardware 5 (HW5) will come out at the end of 2025 (between 5 to 18 months from retail release). Musk says Tesla is calling it “AI 5” and it’s 10x better than HW4, and up to 50x better in terms of inference power alone. HW 4, which is currently just emulating HW 3, will start training later this year.

Tesla plans to introduce LLMs with customizable learning personalities its vehicles and Optimus.

On Robotaxi: Fleet monetization planning is ongoing, and owners can send their Teslas to the Robotaxi fleet, and then summon them back when they need them. Most of the income will go to owners, with Tesla taking a set margin.

On Tesla Semi: Elon said that he approved the plans for volume production of the Tesla Semi “last week” (for 2025) and bulk of ramp will happen in 2026.

On Optimus:

Optimus is already an actual contributor to factory tasks (video of it doing tasks), and at least two have been autonomously performing tasks in the factory. Tesla expects 1,000-2,000 robots working in its factories by next year, with a limited production run. There will be one major hardware revision coming this year.

Elonsays Optimus can also used for teaching, companionship, babysitting, etc, and expects 2 humanoid robots per person in the future. He talked about a target of $10k-$20k price for custmers.

On Tesla Energy: Megapack version 3 is a couple of years away. This chart on the deck shows Tesla is tracking for a 200-300% YoY growth to 40 GWh of energy storage deployment this year. And what I love seeing even more, is the generated record gross profits from Tesla Energy in 2023. Tesla says they are constrained by Megapack and Powerwall 3 production and can’t keep up with the demand.

On Supercharging: something we already knew, but Musk says “Rumors of the death of Tesla Superchargers are greatly exaggerated.” I wonder if we’ll ever get the chance to learn the actual backstory of the whole-team layoffs. Tesla now has 58k global sites and growing. Musk says Tesla will deploy more superchargers this year than the rest of the industry combined.

Sustainability: Tesla drivers avoided releasing over 20M metric Tons of CO₂ to the atmosphere., Water usage per vehicle is own almost 25% since 2018 to 2.48 m³, well below the industry average of 3.37 m³. 100% of Giga Berlin electricity usage is matched with renewables.

Tesla statistics confirm that after 200k miles (322k km), Model 3 & Y retain 85% of their original capacity on average (and looks like the standard deviation is between 80% and 90% by that time.

See more on Tesla sustainability in their recently-released Impact Report 2023.

Meanwhile, some shareholders visiting the event saw the showcased Model Y with Front & Rear Gigacasting. Casting these means 370 fewer parts, and a 10% weight reduction, per our friend and gigacasting expert, Luca. This casting is currently used in the Model Y’s produced in Berlin, with the BYD battery pack.

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