Alphabet CEO Sundar Pichai could earn $692 million over three years

Sundar Pichai, at the helm of Alphabet, is becoming a symbol of unprecedented capital concentration in the tech sector. According to the latest regulatory documents, his total compensation over the next three years is set to reach $692 million. This package consists almost entirely of stock awards, which will be granted in annual installments. A key element of this structure is the linking of payouts to the company's stock performance; a significant portion of the amount will only be unlocked if Alphabet's share price maintains a specified, high level for at least 90 consecutive trading days. This mechanism is theoretically meant to guarantee that the CEO's interests are aligned with those of shareholders, a standard practice in corporate America. Since the 1980s, CEO compensation systems in the US have evolved towards the dominance of stock options. This was intended to solve the so-called agency problem—the divergence of goals between owners and management—but in practice, it has led to a gigantic increase in income inequality. News of Pichai's record earnings has resonated widely in international media. The Italian newspaper "La Repubblica" notes that rounding this sum to $700 million solidifies Pichai's position as one of the world's most expensive CEOs. Meanwhile, French media, including "Le Figaro" and BFMTV, analyze this package in a broader market context. BFMTV points out a significant detail: despite the astronomical $692 million figure, it still remains in the shadow of Elon Musk's controversial compensation plan at Tesla, which amounted to tens of billions of dollars. This comparison sheds light on the new financial reality of the tech sector, where traditional pay measures no longer apply. 692 mln USD — is the maximum value of Sundar Pichai's three-year package However, the Alphabet board's decision raises serious ethical concerns. Critics emphasize that the giant bonus for the CEO is being announced at a time when Google and other tech companies are undergoing painful restructurings. In the past year, Alphabet laid off thousands of employees, citing the need for cost optimization and a difficult macroeconomic situation. The contrast between savings impacting rank-and-file workers and generosity towards the corporate leader fuels the debate on corporate social responsibility. While Pichai's supporters point to his key role in the development of artificial intelligence and stabilizing Google's market position, skeptics question whether any individual's contribution is worth such high financial compensation. Furthermore, the package's structure suggests that Alphabet's management is putting all its eggs in one basket, tying the CEO's fortune to short-term stock valuation, which could encourage risky financial decisions at the expense of long-term development.