By Nick Turner | Bloomberg
Annual compensation for Broadcom Inc. Chief Executive Officer Hock Tan more than doubled last year to $161.8 million, thanks to a stock award of $160.5 million that will vest over the next five years.
Tan’s salary remained $1.2 million in 2023, according to a regulatory filing Monday, but the stock award contributed to a 167% increase in his total compensation. He didn’t receive non-equity incentive compensation — a category that had amounted to $5.4 million the previous year.
The performance-based award was “front-loaded” to cover a period of five years, Broadcom said. During that vesting period, the Palo Alto, California-based company won’t grant him additional annual equity awards.
“The independent directors believe Mr. Tan has been and continues to be the main driving force behind Broadcom’s transformation from a semiconductor company into a leading infrastructure technology company,” according to the filing.
Tan has used acquisitions to diversify Broadcom’s business, including the VMware Inc. deal that closed in November. He previously purchased CA Technologies and Symantec Corp.’s corporate security business, beefing up Broadcom’s software and services.
Charlie Kawwas, head of Broadcom’s semiconductor group, received a similar award of $48.2 million in 2023. His total compensation was $49.7 million in 2023, up from just $2.3 million a year earlier.
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