Key Points:
- Broadcom CEO Tan Hock Eng’s annual compensation surged to $161.8 million in 2023, driven by a performance-based stock award.
- Tan’s leadership has been crucial in Broadcom’s transformation into a leading infrastructure technology company.
- Dr. Charlie Kawwas, head of Broadcom’s semiconductor group, also received a significant stock award in 2023.
- Broadcom’s revenue reached $35.82 billion in 2023, with a 17% rise in stock value in 2024.
Chipmaker Broadcom’s CEO, Tan Hock Eng, saw his annual compensation skyrocket to $161.8 million in 2023, according to a filing with the US Securities and Exchange Commission (SEC) on Feb 26.
The annual compensation figure marked a significant increase from his 2022 pay of $60.6 million, largely driven by a front-loaded performance-based stock award of $160.5 million covering five years. The compensation, which amounted to 510 times the median salary of Broadcom employees, highlights Tan’s pivotal role in the company’s growth and transformation.
Tan’s leadership has been instrumental in Broadcom’s evolution from a semiconductor company to a leading infrastructure technology firm. Under his guidance, Broadcom has pursued strategic acquisitions to diversify its business portfolio, including the notable $69 billion purchase of cloud computing firm VMware in 2023, following regulatory approval in key markets such as China. Previous acquisitions, such as CA Technologies and Symantec’s corporate security business, have strengthened Broadcom’s position in software and services.
The filing emphasized Tan’s integral role in driving Broadcom’s transformation and acknowledged his contributions to the company’s success. Alongside Tan, Dr. Charlie Kawwas, head of Broadcom’s semiconductor group, also received a substantial stock award of $48.2 million in 2023, contributing to his total compensation of $49.7 million, a significant increase from $2.3 million in the previous year.
Broadcom’s financial performance remained robust, with revenue reaching $35.82 billion in 2023. The company’s stock experienced a 17% rise in 2024, building on its significant growth from the previous year. News of Broadcom’s agreement to sell a unit to private equity firm KKR for $4 billion further bolstered this positive momentum.
Tan, a Malaysian-born CEO from Penang, has led Broadcom since 2006, consistently ranking among the highest-earning CEOs in the United States. His strategic vision and leadership have been pivotal in Broadcom’s growth trajectory and financial success.
