Meta Platforms has unveiled ambitious executive pay incentives, targeting a $9 trillion market capitalization by 2031, as it seeks to get ahead in the increasingly fierce race for artificial intelligence talent.
Under the stock options program, which includes six leaders – but not CEO Mark Zuckerberg -, the full value of the options would only be realized if Meta’s shares jumped more than 500%, to US$3,727, according to documents presented on Tuesday night (24).
The current market capitalization of Facebook’s parent company is $1.5 trillion, based on yesterday’s closing price of $592.92.
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“This is a big bet. These remuneration packages will only come to fruition if Meta achieves enormous success in the future, benefiting all our shareholders,” said a company spokesperson, in a statement quoted by The Wall Street Journal.
Tesla did something similar by proposing a compensation package of up to $1 trillion for CEO Elon Musk – if a series of ambitious goals are met over the next decade, including raising the electric vehicle maker’s market value to $8.5 trillion. Shareholders approved the compensation plan in November last year.
But the target time horizon for Meta executives is half that – just five years – and requires an even bigger jump in market capitalization.
The incentive program includes Chief Financial Officer (CFO) Susan Li, Chief Technology Officer (CTO) Andrew Bosworth, Chief Operating Officer (COO) Javier Olivan, Chief Product Officer (CPO) Chris Cox, Chief Legal Officer (CLO) CJ Mahoney and Vice Chair of the Board Dina Powell McCormick, according to documents submitted to the Securities and Exchange Commission (SEC).
Mahoney only joined Meta in January, coming from rival Microsoft, while Powell McCormick, a former advisor to Donald Trump, also joined the management team at the beginning of the year. Source: Dow Jones Newswires.
*Content translated with the help of Artificial Intelligence, reviewed and edited by the Editorial Team BroadcastGrupo Estado’s real-time news system.
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