Nvidia CEO pay falls ten percent in FY23 on missed sales targets
$21.35 million is apparently a lower amount.
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What you need to know
It’s been a rough last few years in the tech industry, especially among semiconductor and computer processor manufacturers. While there is still a lot of demand for computer components the number of consumers seeking them has significantly lowered. Both Intel andAMD reported quarterly lossesearlier this year and pointed to lower consumer sales as the reason. So it’s not surprising thatNvidiahas also been affected, even if it isn’t as bad as some other companies have reported for the same period.
According toThe RegisterNvidia president, CEO, co-founder, and named executive officer (NECO) Jen-Hsun “Jensen” Huang has still managed to earn a handsome total compensation package of $21.35 million (as shown in the2023 Nvidia Proxy Statement), but this is reportedly millions of dollars lower than what he could have earned had the tech company been able to meet its financial targets. For those interested, the median Nvidia employee pay rate is $229,078 which means that the CEO’s salary is significantly higher at a ratio of 94:1. That’s quite a difference.
Jensen wasn’t the only one at Nvidia who wasn’t paid out as much as they could have been. CFO Collette Kress could have received $11.99 million, but was only awarded $10.91 million. Meanwhile veep of Worldwide Operations Away Puri also could have received $11.99 million, but was only rewarded $10.62 million.
Altogether, Nvidia is down 10% from the year before, which the company states is due to several factors.“Fiscal 2023 was a challenging year, with macroeconomic headwinds, channel inventory corrections, COVID-19 and product architecture transitions affecting several of our businesses. As a result, our Fiscal 2023 revenue and non-GAAP Operating Income performance fell short of the CC’s (compensation committee’s) pre-established goals for executive compensation.”
It’s likely that tech sales in this sector will continue to be down from the previous year going forward in 2023 as this is what both Intel and AMD have predicted for their next financial reports. However, Nvidia has been developing in various ways to uniquely situate itself toward a more confident future. The company’s leaders also hope that shareholders will approve executive compensation for 2023. “As we move into fiscal 2024, we expect new product architectures to ramp, alongside new opportunities from areas such as generative AI and language models, Nvidia cloud services and digitalization.”
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Self-professed gaming geek, Rebecca Spear, is one of Windows Central’s editors and reviewers with a focus on gaming handhelds, PC gaming, and laptops. When she isn’t checking out the latest games on Xbox Game Pass, PC, ROG Ally, or Steam Deck; she can be found digital drawing with a Wacom tablet. She’s written thousands of articles with everything from editorials, reviews, previews, features, previews, and hardware reviews over the last few years. If you need information about anything gaming-related, her articles can help you out. She also loves testing game accessories and any new tech on the market. You can follow her@rrspearon X (formerly Twitter).
