Apple Sets New CEO John Ternus' Pay at $58M; Tim Cook to Earn $47M as Executive Chair

Apple has set new CEO John Ternus' target compensation at $58 million, according to an updated SEC filing. Tim Cook will earn around $47 million in his new role as executive chairman. The details, which were first reported by Bloomberg, outline the leadership team's fiscal 2027 compensation.

Ternus' Pay Package

Ternus' fiscal 2027 compensation includes a $3 million salary and an annual equity award with a target value of $55 million. A quarter of the award is time-based and will vest semiannually over four years. The remaining 75 percent of the restricted stock units (RSUs) will vest based on Apple's total shareholder return relative to other companies in the S&P 500, which, as MacRumors notes, is how Cook's RSUs have worked for many years.

For fiscal 2026, Apple granted Ternus a prorated RSU award with a target value of $2.5 million. Ternus' previous pay as Apple's senior vice president of hardware engineering was not publicly shared, so this is the first look at his compensation. According to 9to5Mac, Bloomberg reports that "that management level typically gets paid about $25 million annually when including stock, salary and bonuses."

The Hollywood Reporter notes that Ternus became Apple's new CEO on Tuesday, taking over at a critical moment for the tech company, which is navigating a mature smartphone market and the explosive growth of AI companies.

Cook's New Role and Compensation

Cook's new salary will be $2 million, but he's also earning an equity award with a target value of $45 million in fiscal 2027. Half will be granted in the form of time-based RSUs that vest over four years, and the other half will vest based on Apple's stock performance, according to MacRumors. Should Cook retire on or after the first anniversary of the grant date, his equity will vest, but he won't receive the shares until the originally scheduled vesting dates.

$47 million is a sizable pay cut for Cook, who earned $74.3 million in 2025, including a $3 million salary, $12 million in performance-based cash awards, and $57.5 million in stock awards. 9to5Mac reports that Cook's focus as executive chairman will see him managing Apple's relationships with President Trump and the Chinese government.

Broader Leadership Changes

According to The Hollywood Reporter, Eddy Cue, the Apple executive who oversees services, including Apple TV, is adding oversight of the Apple App Store this week as well. Ternus will also have to help Apple navigate its future in entertainment, with Apple TV and Apple Music core pieces of the tech giant's services business.