Nvidia CEO Jensen Huang receives first salary hike in 10 years: Here’s his new pay

Nvidia CEO Jensen Huang is set to receive his first salary increase in ten years, as the chipmaker's meteoric rise continues to reward its leadership. Huang's base salary has risen by 49%, jumping to $1.5 million for the fiscal year 2025. In addition to the base salary hike, Huang’s variable cash compensation has been boosted by 50%, equating to an extra $1 million compared to the 2024 fiscal year. When factoring in stock awards, his total pay for 2025 will amount to an eye-watering $49.9 million, according to a proxy filing with the US Securities and Exchange Commission (SEC) released on Thursday.

This pay rise comes during a period of tremendous growth for Nvidia, which has become one of the most valuable companies in the world, largely due to the success of its graphics processing units (GPUs). These chips are integral to powering the most sophisticated artificial intelligence (AI) models and workloads that have seen an unprecedented surge in demand. Nvidia’s revenue for the 2025 fiscal year skyrocketed by 114%, reaching a staggering $130.5 billion, a testament to the critical role the company plays in the rapidly expanding AI sector.

The compensation committee at Nvidia justified Huang’s salary increase, noting that the adjustment was “appropriate in consideration of internal pay equity” when compared to the base salaries of other top executives. In the proxy filing, it was highlighted that this was Huang’s first base salary increase in a decade, making it a significant move in both his career and Nvidia’s corporate trajectory.

In addition to his base salary, Huang’s pay package for 2025 includes a considerable sum in stock awards, amounting to $38.8 million. These stock-based incentives are reflective of Nvidia’s surging stock price, which has increased more than ninefold from the end of 2022 to the close of 2024. Huang holds an approximately 3.5% stake in the company, which has contributed significantly to his wealth. At current valuations, his stake is worth roughly $94 billion, underscoring his long-term financial success with Nvidia.

While Huang’s compensation package is substantial, it is not just his base salary and stock options that have seen an increase. The filing also disclosed a rise in his personal security and consultation expenses, which total $3.5 million for the 2025 fiscal year. This represents a jump from the previous year’s $2.2 million. The services cover various security measures, including residential security, consultations, and even driver services, ensuring Huang’s safety and convenience as he leads the company. For comparison, Google reported that it paid $8.27 million for CEO Sundar Pichai’s personal security and travel expenses, marking a 22% increase from the previous year.

Huang's long tenure at Nvidia has been marked by visionary leadership, guiding the company from its early days as a graphics card manufacturer to its current position at the forefront of the AI revolution. His foresight in recognising the potential of AI and machine learning has positioned Nvidia’s GPUs as indispensable in the development of cutting-edge technologies. This strategic direction has paid off in spades, propelling the company to new heights and solidifying Huang’s status as one of the most successful CEOs in the tech industry.

Nvidia’s remarkable growth has also had broader implications for the tech industry. The company’s GPUs are now integral to not only AI research but also cloud computing, autonomous vehicles, and gaming. The skyrocketing demand for Nvidia’s chips is a direct reflection of the growing reliance on AI across various sectors, from healthcare to finance and beyond.

Despite his considerable pay increase, Huang’s compensation is still in line with the broader trends in the tech industry, where executive pay packages have soared in recent years, often tied to company performance. Nvidia’s growth has been exceptional, but it is also part of a larger narrative in which top executives in major tech companies see significant rewards for navigating their companies through periods of exponential expansion.

For Nvidia, this significant salary increase for Huang underscores the company’s recognition of his pivotal role in the firm’s extraordinary success. As the tech giant continues to dominate the AI landscape, Huang’s leadership will likely remain central to its future prospects. With AI expected to become an even more integral part of global economies in the coming years, Nvidia’s position as a key enabler of this transformation places Huang in a strong position for continued success.

This pay rise also reflects broader shifts in the executive compensation landscape, where the value of top leadership is increasingly tied to the performance and growth of companies in the rapidly changing tech sector. As Nvidia continues to ride the wave of AI-driven growth, Huang’s increased pay package is a reflection of the immense value he has brought to the company and its shareholders.