Nvidia's CEO, Jensen Huang, received a 60 percent pay raise last year, thanks to the company's tremendous success driven by the artificial intelligence (AI) boom. The Wall Street Journal reports that Huang's base salary last year was $34.2 million, which is $12.8 million more than what the tech billionaire earned the previous year.
Huang also received several other bonuses last year, including stock awards worth about $7 million more than in fiscal 2023, in addition to a $4 million cash bonus and a $2.5 million bonus for other achievements. In total, Huang's additional income amounts to approximately $44 million.
While this may seem like a lot of money, Huang's salary increase is "ridiculous" considering the immense wealth he holds in stocks alone. Huang's Nvidia shares alone are worth $82.5 billion. Reports indicate that Huang holds a substantial package of 86.7 million shares in the company.
Nvidia shares are currently at an all-time high, trading around $954. This year alone, Huang has increased his portfolio by $40 billion. Nvidia shares were valued at $482 at the beginning of January, and five months later nearly doubled to $950.
In other words, Huang can earn or lose more money in one day from stock fluctuations than his $44 million bonus from last year. Nvidia shares started 2023 at around $146. By January 2, 2024, they had reached $482, more than tripling in value.
This means Huang's stock went from about $12.6 billion to $41.8 billion. In that context, his 60 percent pay increase is just 0.1 percent of the increased wealth he gained during 2023. Under his leadership, NVIDIA, founded in 1993, has become a key player in developing GPU technology, used not only in video games but also in professional graphics, scientific research, autonomous vehicles, and AI applications.
Huang is known for his visionary ability to recognize and capitalize on new technological trends, enabling NVIDIA to adapt and grow in the rapidly changing tech landscape. Currently, Jensen Huang is the 20th richest person in the world.