Tesla has awarded CEO Elon Musk a new share grant worth approximately $29 billion, a move aimed at retaining the billionaire executive as the company pivots from its struggling electric vehicle business toward robotaxis and humanoid robots.

The grant, comprising 96 million new shares, is described by Tesla as a “good faith” step toward honoring Musk’s controversial 2018 compensation package—valued at over $50 billion—which was voided by a Delaware court earlier this year over concerns about fairness and board oversight. A revised long-term compensation plan will be presented to shareholders for a vote at Tesla’s annual meeting on November 6.

Musk, who owns a 13% stake in Tesla, is positioning the company as an AI and robotics leader amid declining auto sales and rising competition in the EV market. Tesla’s once-rapid revenue growth has stalled, with analysts forecasting a second straight year of declining sales in 2025.

The new award is structured to gradually increase Musk’s voting power and incentivize him to remain with Tesla through at least 2027. The shares are subject to a five-year holding period and can only be exercised at the same $23.34 price as the 2018 award. If the original compensation package is reinstated by the courts, the new award will be forfeited or offset to avoid duplication.

Tesla emphasized that the grant is necessary to ensure Musk stays focused on the company’s ambitious goals. “We are confident this award will incentivize Elon to remain at Tesla,” said a special committee of the board.

However, critics argue the move undermines the Delaware ruling. “This is simply a repackaged version of what was ruled improper,” said Charles Elson, a corporate governance expert.