Apple announced compensation packages for CEO John Ternus and Executive Chairman Tim Cook

Apple announced John Ternus's new remuneration in a filing with the US securities regulator, after he officially became CEO from September 1. Accordingly, Ternus receives a salary of 3 million USD per year. In fiscal year 2026, Apple also granted him a bonus stock worth a target value of $2.5 million, based on the time he serves as CEO this year.

From fiscal year 2027, this new CEO will receive additional shares with a total target value of 55 million USD. 25% of these shares are paid every 6 months, equivalent to 12.5% ​​each time. The remainder, equivalent to 75% of the bonus, will be paid based on Apple's business results on the stock market.

Specifically, Apple will compare the increase in value for its shareholders with other companies in the S&P 500 group. If Apple shares achieve good results according to this criterion, Ternus may receive a corresponding amount of shares.

If only calculating salary and target value of bonus shares, Ternus' compensation package in fiscal 2027 is worth about 58 million USD. However, this is not the amount of money he will definitely receive, because the stock value can change and this amount does not include performance-based bonuses.

Meanwhile, Tim Cook, who moves from CEO to Executive Chairman of Apple, will receive a salary of 2 million USD per year and bonus shares worth a target of 45 million USD in fiscal year 2027 and the bonus amount also depends on the results of Apple shares.

Previously, in 2025, Tim Cook received a total of 74.3 million USD from Apple. This includes $3 million in salary, $12 million in performance-based bonuses and $57.5 million in stock value and $1.76 million in other amounts.

This is the first time Apple has announced details about Ternus's compensation. Previously, when he was vice president in charge of hardware engineering, his salary and bonus were not disclosed.

Ternus, 51, has spent 25 years working his way up at Apple. He was recruited to the product design team in 2001. In 2013, he was given the position of vice president of hardware engineering, before becoming senior vice president of hardware engineering in 2021.

This choice by Apple is considered by analysts to mean that the company's next era will "focus more strongly on hardware and product execution". Previously, under Ternus' leadership, Apple launched many highlight products, such as the ultra-thin iPhone Air, cheap MacBook Neo and AirPods with hearing health support features.