Indian-American Sundar Pichai who took over the reins as chief executive of Google parent Alphabet will receive US Dollar 240 million in stock awards over the next three years. These earnings are in addition to US Dollar 2 million, Pichai’s annual salary beginning in 2020. Pichai took over the charge after Google co-founders Larry Page and Sergey Brin announced that they are stepping down from the leadership role of the parent company Alphabet.
Bestowing performance-based stock awards for the first time, the company will grant Pichai additional US Dollar 90 million in stock grants. This depends if Alphabet shares outperform the S&P 100 Index.
With Alphabet now well-established, and Google and 'Other Bets' operating effectively as independent companies, it's the natural time to simplify our management structure, wrote the two Google co-founders.
"We've never been ones to hold on to management roles when we think there's a better way to run the company," they said.
"And Alphabet and Google no longer need two CEOs and a President. Going forward, Sundar will be the CEO of both Google and Alphabet. He will be the executive responsible and accountable for leading Google, and managing Alphabet's investment in our portfolio of Other Bets," said Page and Brin.
"We are deeply committed to Google and Alphabet for the long term, and will remain actively involved as Board members, shareholders and co-founders. In addition, we plan to continue talking with Sundar regularly, especially on topics we're passionate about!" they wrote.
In his statement, Pichai made it clear that the transition will not affect the Alphabet structure or the work they do day to day.
"I will continue to be very focused on Google and the deep work we're doing to push the boundaries of computing and build a more helpful Google for everyone," he wrote.
"At the same time, I'm excited about Alphabet and its long-term focus on tackling big challenges through technology," he said in his email.