Apple names John Ternus CEO with $58 million target pay as Tim Cook steps to executive chair

Leadership transition and compensation filings

On 1 September 2026, John Ternus officially assumed the role of chief executive officer at Apple, concluding Tim Cook's 15-year tenure at the head of the company. Cook transitioned to the position of executive chair. Apple detailed the economic terms of the succession in a filing submitted to the US Securities and Exchange Commission on 2 September 2026. For fiscal year 2027, Ternus will receive a target compensation package of $58 million, consisting of a $3 million base salary and $55 million in stock awards. In the fiscal 2026 transition year, Ternus also receives a prorated restricted stock grant with a target value of $2.5 million. Cook will receive a target compensation package of $47 million in his new role, comprising a $2 million base salary effective 26 September and $45 million in stock awards.

Structure of the stock awards

The equity grants for both executives are structured around retention and shareholder returns. For Ternus, 75% of his annual stock award ($41.25 million) is tied to Apple's total shareholder return compared to other companies in the S&P 500 index. The remaining 25% ($13.75 million) is time-based, vesting semi-annually at 12.5% every six months across four years. Cook's equity compensation splits evenly, with 50% ($22.5 million) tied to performance targets and 50% ($22.5 million) allocated as time-based restricted stock subject to the same four-year vesting schedule. Cook's overall compensation as CEO for fiscal 2025 exceeded $74 million, and Apple generated over $416 billion in revenue during that fiscal year.

Background and executive handover

Ternus, aged 51, previously served as Apple's senior vice president of hardware engineering, running the engineering teams behind the entire product portfolio. Senior vice presidents at Apple typically receive around $25 million annually in salary, bonuses, and equity (per Bloomberg). In a staff memo sent on Monday before the handover, Cook endorsed his successor.

Few people understand what it takes to build products that change the world the way John does.

Ternus addressed Apple employees on his first day as chief executive, thanking Cook and previewing product plans.

We have a big launch next week that will be phenomenal.

Operational priorities and product horizon

Cook took charge of Apple in 2011 following Steve Jobs, during which Apple's market valuation rose from approximately $350 billion to $4.67 trillion, representing a 2,200% stock increase. In his executive chair post, Cook will focus on government relations globally and maintain company ties with Donald Trump. Ternus faces immediate operational priorities, including managing executive committee adjustments initiated over the past four months, addressing talent movement to artificial intelligence firms like OpenAI, and deploying AI features into Apple hardware. Michael Gartenberg, a consumer technology analyst and former Apple product marketer between 2013 and 2016, stated that Apple must answer what comes next and demonstrate continued product innovation. Ternus makes his first public appearance as chief executive on 9 September 2026 at Apple's annual hardware launch event, where a foldable handset is anticipated.