We’re all aware of our friend Sundar Pichai, let’s throw some light on his payroll:
- According to theceo.in, he occupies number 6th position as the highest-paid CEO having more than $1.2 bn net worth and he is already one of the highest-paid executives in Silicon Valley.
- He has received numerous stock grants over the last decade including $250 mn in 2014 and a pair of grants a year afterward amounting to approx. $300 mn. The last stock grant he received was in 2016.
- He has made so much money lately that he turned down an additional stock grant last year.
- If Alphabet shares outperform in the S&P 100 Index and if he outperforms (again) on his performance metrics he could receive an additional $90 mn along with his annual salary that stands out to be approx. $2 mn.
- Summing up, Sundar Pichai will receive approx. $240mn in stock awards over the next 3 years if he fits all of his performance targets.
47-year-old, Sundar Pichai a once Product Chief at one time took over as CEO of Google Inc when its existing co-founders Larry Page & Sergey Bin decided to step-out from their designation in 2015. The duo preferred to stay away from media limelight since the company’s restructuring happened.
With Google’s restructuring, Alphabet Inc. was born and now America has the world’s 5th largest technology company by revenue and one of the most valuable companies globally. Headquartered in Mountain View, California was prompted by a desire to make Google internet services business “cleaner & more accountable” while allowing greater autonomy to the group companies that operate in business other than internet services.
Page & Brin wrote in an email-
“With Alphabet now well-established, and Google and the Other Bets operating effectively as independent companies, it’s the natural time to simplify our management structure. We’ve never been one to hold on to management roles when we think there’s a better way to run the company & Alphabet and Google no longer needs 2 CEOs and a President. Going forward, Sundar will be the CEO of both Google and Alphabet. He will be the executive responsible and accountable for leading Google, and managing Alphabet’s investment in our portfolio of Other Bets. We are deeply committed to Google and Alphabet for the long term and will remain actively involved as Board members, shareholders, and co-founders. In addition, we plan to continue working with Sundar regularly, especially on topics we’re passionate about”.
Pichai stressed that the change will have little to no impact on how Google operates on a day-to-day basis. “I want to be clear that this transition won’t affect the Alphabet structure or the work we do day by day. I will continue to be very focused on Google and the deep work we’re doing to push the boundaries of computing and build a more helpful Google for everyone. At the same time, I’m excited about Alphabet and it’s the long-term focus on tackling big challenges through technology”.
But everyone was not happy with the decision. At a staff meeting this year, one Google worker asked why Pichai had been paid so much while some employees struggle to afford to live in Silicon Valley. Tensions between workers and management have intensified recently after internal protests sparked a crackdown.
Brin and Page, both 46, each own about 6% of Google and control Alphabet through special voting shares. Pichai isn’t getting any such shares as a part of his compensation package, according to reports.
