Elon Musk Designs $1.1 Trillion Stock Incentive Plan for SpaceX Ahead of IPO

According to SpaceX prospectus, on June 6, Elon Musk designed a stock incentive plan worth up to $1.1 trillion as the company nears its IPO at an estimated $1.75 trillion valuation. Musk will receive 1.3 billion Class B super-voting shares currently valued at $175 billion, with potential value reaching $1.1 trillion if full targets are met, including achieving a $7.5 trillion market cap and establishing a permanent Mars settlement with 1 million people.

SpaceX relocated its incorporation to Texas and disclosed the arrangement in its prospectus, making it substantially harder for shareholders to challenge the plan. Under Texas law, shareholders must own at least 3% to initiate litigation, corresponding to several hundred billion dollars at the company's valuation. Musk currently holds 85.1% voting power and will retain approximately 82.4% post-IPO, maintaining board control through Class B shares.