Tim Cook’s transition from Apple CEO to executive chairman comes with a $45 million stock award, underlining that he is set to remain a highly compensated and active figure in the company’s leadership. Apple’s securities filings show Cook will also receive a $2 million salary in the new role, shortly after John Ternus formally became CEO on September 1.
Ternus, who succeeded Cook after the latter’s 15-year CEO tenure, has a $3 million annual salary and a fiscal 2027 equity award with a target value of $55 million. The relatively narrow gap between the two packages points to a leadership handover in which Cook retains substantial financial and executive ties to Apple.
The awards are structured differently. Seventy-five percent of Ternus’ stock package is tied to Apple’s market performance relative to companies in the S&P 500, compared with 50 percent of Cook’s award. The remaining shares in each package vest over multiple years.
Cook’s executive chairman position is also markedly different from a conventional non-executive board chair role. Bloomberg noted that Arthur Levinson, Apple’s former non-executive chairman, received less than $560,000 in total compensation last year. Cook is expected to continue handling Apple’s relationships with political decision-makers around the world, while maintaining an office at Apple Park.
Apple announced the management change in April. Cook has said there can be only one CEO at a time and vacated the CEO office for Ternus, but his continuing executive remit, long-standing relationships and equity package suggest a gradual transition rather than a clean break from day-to-day influence.
Ternus’ first major public test as CEO is expected on September 9, when Apple is anticipated to unveil a foldable iPhone, the iPhone 18 Pro and iPhone 18 Pro Max, and new Apple Watch models. Bloomberg reports that Cook is expected to attend in the VIP area rather than appear in the presentation video, leaving the product-launch stage to Apple’s new CEO.
