Microsoft CEO Satya Nadella’s total compensation increased by 63% in fiscal 2024, reaching $79.1 million, largely driven by stock awards. According to a company filing, Nadella’s stock-based compensation rose to $71 million, up from $39 million last year, as Microsoft’s valuation crossed $3 trillion, boosted by a 31.2% gain in share price. Microsoft’s aggressive AI investments, particularly through its partnership with OpenAI, have positioned the company as a leader in generative AI, which likely contributed to Nadella’s stock awards increase.
In a notable move, Nadella requested a reduction in his cash incentive, receiving $5.2 million instead of the $10.7 million he was eligible for. The reduction came as Microsoft faced cybersecurity incidents during the year, highlighting a conscious choice to align with recent challenges. Comparatively, other major tech CEOs received less; Apple’s Tim Cook earned $63.2 million, while Nvidia’s Jensen Huang earned $34.2 million in the same period.
Nadella’s pay package reflects Microsoft’s strong market performance and the board’s confidence in his leadership as the company navigates an AI-focused future while addressing operational challenges like cybersecurity
