Ternus Takes the Helm: Apple's New CEO Lands Lucrative Compensation Package

Apple has announced its new CEO, John Ternus, who will take over from Tim Cook at a critical time for the company. According to a recent filing with the US Securities and Exchange Commission, Ternus's compensation package is heavily tied to stock performance and company results.

Ternus will receive an annual salary of $3 million as Apple CEO, along with a one-time prorated restricted stock unit grant worth $2.5 million. He will also get annual equity awards valued at $55 million, which comes with two conditions: 25% of the shares will vest over time, and 75% will depend on Apple's performance compared to other companies in the S&P 500 index.

The final value of these stock-based awards is not fixed and can rise or fall depending on Apple's share price. This new arrangement means Cook will continue to play a role at Apple even after handing over the CEO position to Ternus, with a $2 million salary and an equity award valued at $45 million.

Ternus begins his tenure at a complicated moment for the company, dealing with a mature smartphone market and growing artificial intelligence companies reshaping the technology industry. He will have to guide Apple's entertainment and services businesses, including Apple TV and Apple Music.