A Delaware judge has sided with Tesla shareholders who filed a lawsuit claiming that Elon Musk unjustly secured a $55 billion CEO compensation plan. The plan is now voided by the court.
It’s unclear what will come out of this unique situation where Musk could potentially have to give back billions of dollars worth of Tesla shares.
In 2018, Tesla shareholders voted for Elon Musk to get a historic new CEO compensation package that could be worth $55 billion for the executive if Tesla achieved remarkable growth in valuation and profits, which it did.
However, some shareholders argued that Musk unfairly secured this extremely generous compensation plan through misleading shareholders about the fact that the plan was being put together by an independent board.
They filed a complaint in court in Delaware. The case went to trial in 2022, but it took a long time for the judge to give her decision.
The case came back into the news lately as Musk discussed another potentially historical CEO compensation plan at Tesla as he seeks to get 25% voting control over the company. His stake in Tesla is currently down to about 13% (~18% if he ends up being able exercise some stock options left from his compensation plan) after he sold tens of billions worth of Tesla stocks to buy Twitter.
Musk said that Tesla was waiting on the judge’s decision before moving ahead with the new compensation plan
The decision finally came today. Delaware Chancery Court Chief Judge Kathaleen St. J. McCormick sided with the shareholders who filed the complaint:
This posttrial decision enters judgment for the plaintiff, finding that the compensation plan is subject to review under the entire fairness standard, the defendants bore the burden of proving that the compensation plan was fair, and they failed to meet their burden.
Musk briefly commented on the judgment, which he is most likely going to appeal, on X:
Never incorporate your company in the state of Delaware
In short, the judge found that “Musk controlled Tesla” at the time the compensation package was put together:
The collection of features characterizing Musk’s relationship with Tesla and its directors gave him enormous influence over Tesla. In addition to his 21.9% equity stake, Musk was the paradigmatic “Superstar CEO,” who held some of the most influential corporate positions (CEO, Chair, and founder), enjoyed thick ties with the directors tasked with negotiating on behalf of Tesla, and dominated the process that led to board approval of his compensation plan. At least as to this transaction, Musk controlled Tesla.
An interesting caveat to the decision is that Musk’s lawyers had the option to shift the burden of proof that the compensation package was unfair to the plaintiff, but only if the package approved by “fully informed vote of the majority of the minority stockholders.”
Of course, Tesla shareholders voted for the plan, but the judge found that “the defendants were unable to prove that the stockholder vote was fully informed because the proxy statement inaccurately described key directors as independent and misleadingly omitted details about the process.”
Therefore, an important part of this case relied on the judge agreeing with the plaintiff that the board members behind the package were not “independent”.
Here’s how the judge describes how it wasn’t even clear who was negotiating on Musk’s behalf versus Tesla’s behalf:
The process leading to the approval of Musk’s compensation plan was deeply flawed. Musk had extensive ties with the persons tasked with negotiating on Tesla’s behalf. He had a 15-year relationship with the compensation committee chair, Ira Ehrenpreis. The other compensation committee member placed on the working group, Antonio Gracias, had business relationships with Musk dating back over 20 years, as well as the sort of personal relationship that had him vacationing with Musk’s family on a regular basis. The working group included management members who were beholden to Musk, such as General Counsel Todd Maron who was Musk’s former divorce attorney and whose admiration for Musk moved him to tears during his deposition. In fact, Maron was a primary gobetween Musk and the committee, and it is unclear on whose side Maron viewed himself. Yet many of the documents cited by the defendants as proof of a fair process were drafted by Maron.
After hearing from both sides, the judge found that there was “no meaningful negotiation over any of the terms of the plan.”
Musk’s lawyers tried to argue that the CEO made some “concessions” as part of negotiations, but the judge didn’t buy it.
In this litigation, the defendants touted as concessions certain features of the compensation plan—a five-year holding period, an M&A adjustment, and a 12- tranche structure that required Tesla to increase market capitalization by $100 billion more than Musk had initially proposed to maximize compensation under the plan. But the holding period was adopted in part to increase the discount on the publicly disclosed grant price, the M&A adjustment was industry standard, and the 12-tranche structure was reached in an effort to translate Musk’s fully-diluted-share proposal to the board’s preferred total-outstanding-shares metric. It is not accurate to refer to these terms as concessions.
One of the main arguments from Tesla shareholders who are against this lawsuit is that “it was good for everyone”. Yes, Elon gets 6% more of Tesla, but Tesla gets $600 billion more in valuation.
The judge had an answer to this argument:
At a high level, the “6% for $600 billion” argument has a lot of appeal. But that appeal quickly fades when one remembers that Musk owned 21.9% of Tesla when the board approved his compensation plan. This ownership stake gave him every incentive to push Tesla to levels of transformative growth—Musk stood to gain over $10 billion for every $50 billion in market capitalization increase. Musk had no intention of leaving Tesla, and he made that clear at the outset of the process and throughout this litigation. Moreover, the compensation plan was not conditioned on Musk devoting any set amount of time to Tesla because the board never proposed such a term. Swept up by the rhetoric of “all upside,” or perhaps starry eyed by Musk’s superstar appeal, the board never asked the $55.8 billion question: Was the plan even necessary for Tesla to retain Musk and achieve its goals?
The story is still developing. I will update with more details as I continue going through the lengthy decision, which you can read below.
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The Kia EV5 is officially heading to North America in early 2026, paving the way for a potential US launch. If so, it could go head-to-head with the Tesla Model Y.
Is Kia launching the EV5 in the US?
On Tuesday, Kia unveiled the new EV5, a global version of its electric SUV that has been sold in China since 2023.
Starting at around $20,000 (149,800 yuan), the EV5 is leading Kia’s comeback in China. It’s also a top-selling EV in Australia, where it’s exported from Kia’s Chinese joint venture, Yueda Kia.
The global version will be made in Korea with a few slight upgrades. For one, it’s powered by an 81.4 kWh nickel-manganese-cobalt (NMC) battery pack, rather than the BYD LFP Blade battery used in the version sold in China.
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In Europe, the EV5 will be initially available in two variants: a baseline model and a GT-Line model. Both are powered by front-wheel drive (FWD) with up to 215 hp (160 kW) and 218 lb-ft (295 Nm) of torque.
Kia EV5 baseline trim (Source: Kia)
The global version is 4,610 mm long, 1,875 mm wide, and 1,675 mm tall, or a bit smaller than the Tesla Model Y. It’s about the size of the Hyundai IONIQ 5.
Inside, you’ll find a setup similar to the EV9 and EV3, featuring Kia’s new ccNC (connected car Navigation Cockpit) infotainment system. The setup features a 12.3″ instrument cluster and a 12.3″ infotainment display in a panoramic format. There’s also an added 5.3″ climate control screen.
Kia EV5 GT-Line interior (Source: Kia)
During the launch event, Kia said the “rollout begins” in Korea and Europe in the second half of 2025, adding North American sales will start in early 2026.
Does that include the US? I wouldn’t get my hopes up. In January, Kia announced the EV5 will be “exclusive to the Canadian market in North America.” It will begin arriving at dealerships in 2026.
Kia EV5 GT-Line (Source: Kia)
However, it might make sense. The EV5 for North America will have a built-in NACS port, unlocking access to Tesla Superchargers. It will be available in both AWD and FWD powertrains. Two battery sizes will be offered, 60.3 kWh and 81.4 kWh, offering a range of up to 310 miles (500 km).
Kia EV5 GT-Line interior (Source: Kia)
With sales of the EV6 and EV9 slipping nearly 50% each through the first half of the year in the US, the EV5 could complement the two.
Electrek’s Take
Although it’s still unlikely, the EV5 could serve as a potential electric alternative to the Sportage, Kia’s top-selling vehicle in the US.
Through June, Kia has sold over 87,000 Sportage models in the US. In comparison, it’s only sold 4,938 EV9s and 5,875 EV6 models.
Kia is launching the EV4, its first electric sedan, in the US early next year. However, a smaller compact electric SUV may be an even better fit.
It already builds the EV9 and EV6 in Georgia, so it could produce the EV5 in the US to avoid extra tariff costs. Or, it could even potentially be built at Hyundai’s new EV plant in Georgia. However, nothing is confirmed.
Would you buy the Kia EV5 in the US? Prices would likely start at around $50,000. Drop us a comment below and let us know your thoughts.
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NIU’s recent addition to its KQi line of electric scooters, the KQi 200F, delivers on its promise of being a smart, mid-range commuter scooter that balances portability, comfort, and tech-savvy features. It’s normally reasonably priced, but right now during Prime Day sales you can actually get it for $250 off, dropping the price to just $549. At that price, it’s as affordable as a cheaper scooter while offering features and tech found in pricier models!
In fact, it looks like NIU has some pretty crazy Prime Day sales on just about everything in the e-scooter lineup, so it’s worth checking out.
NIU KQi 200F Video Review
To see how the scooter performs in real-world riding, check out my video review below. But don’t forget to keep reading afterwards for my complete thoughts!
NIU KQi 200F tech specs
Motor: 700W peak power rear hub motor
Top speed: 32 km/h (20 mph)
Range: 54 km (33 mi) as advertised
Battery: 48V 7.8Ah (365 Wh)
Weight: 20 kg (44.1 lb)
Frame: Aluminum
Suspension: Front suspension fork
Brakes: Front drum brake, rear regenerative braking
Wheels: 10 x 2.3-inch air-filled tires
Extras: LCD display with speedometer, LED headlight and tail light plus handlebar turn signals, safety lockout on folding mechanism, folding handlebars, UL certification
Design and performance
NIU upgraded the 200F over the previous KQi 2 Pro with several meaningful tweaks. The most obvious is the set of new foldable handlebars that not only make the bars wider while riding for more stability, but also fold to reduce the width to just 6.9 inches (17.5 cm), making it easy to stash in tight spaces or car trunks.
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The front suspension and 10″ pneumatic tires also offer a cushioned ride that soaks up city bumps quite nicely.
While not a powerhouse compared to some of the hot rod scooters out there, the 700 W peak motor gives it enough muscle to handle moderate hills and keep up with traffic. NIU claims 20% hills can be conquered, though that’s an incline steep enough that I didn’t have access to one. The top speed of 20 mph (32 km/h) feels safe for bike lanes and no one is going to give you dirty looks since you’re basically keeping up with e-bikes, but you might find yourself feeling like a slowpoke on the side of some urban roads if you’re trying to ride in the lane with cars.
NIU equips the KQi 200F with front drum and rear regenerative brakes. The brakes seem plenty strong for me and I like trying to use the regenerative braking as much as I can, leaving the drum brake for when I need to stop even more quickly.
The scooter also includes LED lights in the front and rear, not to mention handlebar-mounted turn signals, which I think are the best place to put them and make your turning indications more visible.
It’s not clear to me that car drivers are actually looking for turn signals on scooters yet, but at least they’ll be visible to drivers – even if they come as something of a surprise.
As a side note, having owned several NIU vehicles myself, I love how the halo LED headlight lends some design consistency from one to the next. It’s not a major feature by itself, but I think it looks cool and so I’m glad they brought it to their standing scooters, too.
Connectivity has always run deep at NIU, which is known for its smart electric mopeds and motorcycles. The KQi 200F continues that legacy.
Bluetooth helps the scooter pair with the NIU app, letting you lock/unlock remotely, adjust riding modes (E-Save, Sport, Custom, Pedestrian), track trips, set cruise control, and adjust charging limits to prolong battery life. That last one is a cool feature that you won’t find from very many electric scooters out there, but it could actually give you several more years of usable range out of your battery, though it should already last several years on its own.
The app is actually the same one I’ve used for NIU’s electric motorcycles and mopeds, so again, it’s great to see some consistency here. And if you’re going to have an app for a kickscooter, at least you can make it well-designed and well-tested. NIU succeeded there.
Alright, but what are the drawbacks?
There’s a lot that I enjoy about the KQi 200F, from how darn smart and connected it is to how darn small it can fold to fit in tight spaces. And the ride is powerful yet smooth, two things that don’t always go well together.
But there are real downsides here, too. The 44 lb (20 kg) weight means that even though the scooter can fold compactly, it’s still going to be heavy for some people to carry. I don’t mind lifting it into a trunk, but if I had to carry it up several flights of stairs, I’d definitely have my fitness monitor congratulating me on the impromptu workout.
There’s also a drop in range when you make full use of the highest power mode, which, of course, is the fun mode. That’s to be expected though, and you can’t fight physics. More power means faster-draining batteries.
I’ll also say that the deck isn’t exactly offering me a ton of real estate. I’m not a big guy, so it works for me. But if you’ve got huge feet or you just like to spread out, you may find yourself reaching for more deck that isn’t there.
Final verdict
All of that being said, and despite the few negatives I could find after looking hard enough, I was VERY impressed with the NIU KQi 200F.
The scooter hits a noticeable sweet spot for urban commuters who want a dependable, smart e-scooter without the premium price. Its thoughtful upgrades – folding handlebars, dual suspension, and solid app integration – show NIU is refining its winning formula, not reinventing it. For daily city use, I’d call it a compelling pick.
But if your needs involve longer rides, faster speeds, or off-road excursions, you’ll likely want a more powerful model. Still, at its current $549 sale price, it’s tough to argue with what you’re getting: comfort, safety, and smarts in a sleek, portable package. And even at its MSRP, I still say it’s worth it!
For a daily commuter or a student living in tight city spaces, the KQi 200F delivers real-world value. It won’t reshape your definition of “fast,” but it just might redefine practical, connected electric commuting.
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A new Subaru EV is finally on the way. The new electric crossover SUV, the 2026 Subaru Uncharted, is set to make its global debut next week. Here’s what we know so far.
The new 2026 Subaru Uncharted EV is coming soon
Subaru currently sells only one fully electric vehicle, the Solterra, but that’s about to change. The Japanese automaker plans to introduce three new electric SUVs by the end of 2026. By the end of the decade, Subaru plans to offer a total of eight EVs.
Earlier this year at the NY Auto Show, Subaru revealed one of the new EVs, the 2026 Trailseeker, alongside the 2026 Solterra.
The Trailseeker is Subaru’s second electric SUV. Although it’s built on the same platform as the Solterra, the new EV is slightly bigger and more capable.
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With 8.3″ of ground clearance, an AWD powertrain, up to 3,500 lbs towing, and 375 horsepower, Subaru claims the new electric SUV has that “go-anywhere attitude.”
It’s also equipped with Subaru’s X-Mode Dual-Mode System. The traction control system features various modes, including Snow/Dirt and Deep Snow/Mud Modes, as well as Grip Control and Downhill Assist Control, for enhanced on- and off-road performance.
2026 Subaru Trailseeker electric SUV (Source: Subaru)
Powered by a 74.7 kWh battery, the Trailseeker delivers over 260 miles of range. It also has a built-in NACS port so you can recharge at Tesla Superchargers.
The new EV, Subaru said, will be sold globally. Subaru was light on the details, but did say the new electric crossover SUV “is ready for your next adventure.”
2026 Subaru Trailseeker electric SUV (Source: Subaru)
You can expect a similar powertrain setup to the Trailseeker with a dual-motor AWD system. As a compact electric crossover SUV, it may be slightly smaller than the Solterra, which measures 4,690 mm (184.6″) in length, 1,860 mm (73.2″) in width, and 1,650 mm (65″) in height.
2025 Subaru Solterra (Source: Subaru)
The 2026 Subaru Uncharted will make its global debut on July 17. Check back next week for the complete rundown. We’ll keep you updated with the latest.
Subaru raised its global EV sales target last year, aiming to sell 600,000 electric vehicles, or about 50% of its total sales, by 2030.
Will Subaru’s new compact electric SUV play a key role in the transition? We’ll find out more soon.
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