Nvidia CEO's pay jumps to $49.9m, his first raise in 10 years

Nvidia CEO Jensen Huang’s compensation will rise to US$49.9 million in 2025, marking his first salary increase in ten years, according to a recent SEC filing.

His base salary increased by 49% to US$1.5 million. His variable cash compensation rose by US$1 million, or 50%, from the previous fiscal year.

Stock awards now represent US$38.8 million of his total pay.

Nvidia said this adjustment was made to align his salary with that of other top executives.

The filing also showed Nvidia allocated US$3.5 million for Huang’s residential security and related services in 2025. This is up from US$2.2 million the previous year.

🔗 Source: CNBC

🧠 Food for thought

1️⃣ Tech CEO compensation reveals changing priorities in the AI boom

Huang’s salary increase reflects a broader shift in how tech companies are compensating their leaders during the AI revolution.

Despite the headline-grabbing $1.5 million base salary increase, stock-based compensation continues to dominate his package, with stock awards accounting for $38.8 million of his $49.9 million total compensation 1.

This structure aligns with industry trends where the average CEO-to-worker pay ratio has escalated dramatically from 21:1 in 1965 to 290:1 in 2023, primarily driven by equity-based compensation 2.

Notably, Nvidia maintains a CEO-to-employee pay ratio of 94:1, significantly lower than the S&P 500 average, partly because the median Nvidia employee earns $228,078—well above typical tech salaries 3.

The timing of this increase coincides with Nvidia’s extraordinary market performance, with revenue jumping 114% to $130.5 billion in fiscal 2025 and stock surging 781% since early 2023, directly benefiting Huang’s 3.5% ownership stake now worth approximately $94 billion 4, 5.

2️⃣ Executive security spending emerges as a hidden indicator of tech leadership value

The increase in Huang’s security costs from $2.2 million to $3.5 million reveals an under-discussed aspect of executive compensation packages that has become increasingly significant.

This 59% jump in security spending parallels Google’s 22% increase for CEO Sundar Pichai’s security and travel to $8.27 million, suggesting a growing industry trend of protecting valuable leadership assets 1.