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Tesla board responds to ISS in four-page shareholder letter

Credit: Tesla

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Tesla’s board of directors has responded to one proxy advisory firm that recently urged its investors to vote against ratifying Elon Musk’s 2018 pay package, ahead of the upcoming annual shareholders meeting.

On Monday, Tesla’s board shared a four-page letter to shareholders on its website, detailing what it believes proxy advisory firm Institutional Shareholder Services (ISS) missed in its recent evaluation of the upcoming vote.

In it, the board writes that the firm was right to urge investors to vote in favor of proposal three, or moving incorporation from Delaware to Texas, adding that it missed important points in encouraging them to vote against proposal four, ratifying Musk’s previously approved $56 billion compensation package.

 

“Despite the recognition of the benefits of the 2018 CEO Performance Award to both Tesla and its stockholders, ISS ultimately reached the wrong conclusion about Proposal Four due to a technical misunderstanding around the Award,” writes the board.

Tesla’s board of directors also outlines four specific points ISS made in its argument against a vote in favor of ratifying the package, arguing that the firm doesn’t fully understand what ratification means—alongside other points.

The letter also includes a recent post on X from Musk, in which he said that the compensation plan would let the CEO “sell enough stock to pay the taxes,”  the rest of which would need to be held for five years.

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Last week, ISS wrote that the pay package was “excessive, even given the company’s success,” noting that the firm is unsure if the award will “increase Musk’s focus on Tesla.”

The value of Musk’s compensation package was set and approved by shareholder votes in 2018, as part of a performance-based tranche system that would ultimately net him around $56 billion in Tesla shares for that time. The vote to ratify the plan comes after it was struck down and effectively voided by Delaware Judge Kathaleen McCormick in January.

Tesla shareholders have until June 13 to vote their shares on these and other proposals, and the company has recently used multiple avenues to encourage investors to vote yes on proposals three and four. Other firms have been divided on the vote, with some, such as Glass Lewis, encouraging shareholders to vote against the proposals, while others have urged stockholders to vote in favor of them—in accordance with board recommendations.

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Last month, Tesla shared a website dedicated to showing investors how to vote, and encouraging them to vote yes on proposals three and four. You can visit that site here.

Tesla shareholder sues Elon Musk accusing him of insider trading

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla’s latest Robotaxi job posting takes the whole program a step forward

On Tuesday, Tesla posted a new job for a Senior Insurance Claims Specialist, Robotaxi, the first of its kind.

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(Credit: Tesla North America/X)

Tesla’s latest Robotaxi job posting goes beyond what has been posted in the past and truly takes the entire program a step forward.

Tesla has been hiring some employees for Robotaxi, but a vast majority of the job postings have been related to Vehicle Operator positions, meaning the people who are Safety Monitors or Validation Vehicle Drivers.

Some job postings have hinted at Robotaxi expanding to new cities.

However, on Tuesday, Tesla posted a new job for a Senior Insurance Claims Specialist, Robotaxi, the first of its kind.

The job description says the employee will “oversee the company’s corporate insurance, risk management and surety programs across all business components.” Additionally, it says the position plays “a critical role in managing incident reporting a claim processes for Tesla Robotaxi and ride-hailing operations.”

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Essentially, Tesla could be looking to prepare for when it eventually will have to take liability for accidents completely. This would be when the company launches fully autonomous vehicles, meaning Cybercab and the Robotaxi program, specifically. It would also include passenger vehicles with Full Self-Driving.

Tesla is currently operating a Robotaxi program in Austin, Texas, as well as a ride-hailing platform in the California Bay Area.

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These programs are the company’s first foray into ride-hailing, with or without someone in the driver’s seat of the vehicle. In Austin, Tesla operates most of its rides without a Safety Monitor in the driver’s seat. Only freeway routes require the Monitor to be directly behind the wheel.

In California, someone sits in the driver’s seat at all times.

The job posting seems to indicate that things could be relatively close in terms of solving self-driving, especially if Tesla is looking to fill a role that would handle autonomous insurance claims.

Of course, it will take Tesla to solve autonomy, and with the company aiming to start Cybercab production (without a steering wheel) in Q2 2025, it surely feels like it is on the brink of something great.

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Tesla snags Lamborghini alum to help in newly entered market

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Credit: Tesla

Tesla has snagged a Lamborghini alum to help with its entrance into a new market, which has proven to be an intricate situation for the automaker.

A report from Bloomberg states that Tesla has hired Sharad Agarwal, who was formerly employed by the Italian luxury carmaker, to run its operations in India. With Lamborghini, he was employed to handle operations in India.

Tesla launches in India with Model Y, showing pricing will be biggest challenge

Tesla has gone through quite a few different team members with its launch in India, starting with a few hirings a few years ago, well before the company actually committed to selling cars in the country.

The move helps Tesla streamline its executive decision-making process, as it previously had employees in India reach out to managers based in China, among other areas. Agarwal will be stationed in India and will handle the company’s operations.

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Tesla’s mentality behind the strategy is to have local leadership, something that seems to cater to the market specifically.

Tesla had previously put Isabel Fan, the manager of Southeast Asia for the company, in the position. However, Tesla seemed to want someone who was more permanent and would be dedicated to India exclusively.

India has the largest population on Earth and has a massive automotive market for that reason. Tesla stands to gain a lot from a strong performance in India, and its clean energy vehicles could help with pollution of all kinds in the region.

Tesla’s path to entrance in the Indian market was a long one, as the company tried for nearly ten years to get into the elusive region. Back in 2016, CEO Elon Musk said Tesla “would love to be in India,” teasing the Model 3.

By 2017, Tesla had met with officials from the country, but tried to get import duties down to nothing from 100 percent.

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Indian authorities denied Tesla’s request.

For years, Musk met with Prime Minister Narendra Modi to try and iron out a deal of some sort. Nothing truly came to fruition, at least until last year, when real movement started.

By 2024, India had introduced a strategy to reduce import duties for some companies, which was enough for Tesla to make a move. It is now 2025, and the company still has not committed to building a factory in the region. However, it is not completely out of the question.

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Tesla Sentry Mode helps lock up drive-by shooting suspect in Seattle

“A nearby Tesla actually captured the video that showed a man crouched behind a vehicle firing gunshots. A lot of vehicles record, and officers know that Teslas, especially, record, so we use that video all the time in these instances.”

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(Credit: Tesla)

Police in Seattle, Washington, are crediting Tesla’s well-known Sentry Mode for helping find a suspect in a drive-by shooting case.

A 21-year-old was arrested for an alleged drive-by shooting in the Pioneer Square neighborhood of Seattle this past Sunday, and the leads on the case seemed to be slim.

However, a Tesla parked nearby was able to record the shooting, as well as the car that the suspect hopped in after the crime occurred. It helped police identify the person they were looking for.

Seattle Police Department Detective Brian Pritchard said to MyNorthwest that the Tesla was a critical part of finding the suspect and placing him under arrest:

“A nearby Tesla actually captured the video that showed a man crouched behind a vehicle firing gunshots. A lot of vehicles record, and officers know that Teslas, especially, record, so we use that video all the time in these instances.”

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The Tesla footage helped the Police put the suspect into handcuffs about an hour after the crime was committed. They are currently charged with drive-by shooting and unlawful possession of a firearm.

Tesla Sentry Mode is a security feature the vehicle utilizes to help solve crimes like vandalism, but it is also a cool feature that has caught things like accidents and other incidents on camera.

Many people still do not know about it, including the many vandals who keyed or broke the windows of Teslas earlier this year, as people damaged others’ cars in an act of retaliation against CEO Elon Musk when he became involved in politics.

This is far from the first time Sentry Mode has helped Police Departments solve crimes. Last September, we reported on Oakland’s Police Department in California using Teslas near crime scenes to help solve cases.

Tesla Sentry Mode is Oakland PD’s secret weapon against rising crime

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Sergeant Ben Therriault, president of the Richmond Police Officers Association, said, “We have all these mobile video devices floating around,” in reference to the Teslas that sit and capture nearly everything that surrounds them.

Sentry Mode has helped officers arrest a variety of suspects, including several people who were allegedly involved in the murder of a 27-year-old woman in Northern California.

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