Apple CEO Tim Cook is taking a 40 percent pay cut in 2023

Tim Cook is getting paid around 40 percent lower than last year, according to the annual proxy statement (PDF) Apple has released — and the CEO himself recommended it. Apparently, during the tech giant’s annual advisory meeting for shareholders in 2022, only 64 percent of the “Say on Pay” votes cast regarding the compensation proposals for executives was in favor of retaining their 2021 pay packages. While that’s still majority of the votes, it represents a significant year-over-year decline in approval. As 9to5Mac notes, 94.9 percent of the shareholders who voted the previous year was in favor of the compensation proposals for executives. 

To decide this year’s pay packages, Apple’s Compensation Committee took into account the Say on Pay’s voting results and Tim Cook’s own recommendation “to adjust his compensation in light of feedback received.” For 2023, Cook’s target salary is $49 million, down $35 million from his target salary in 2022. His base pay is still $3 million and his annual cash incentive remains unchanged at $6 million, but his equity award value went from $75 million in 2022 to $40 million this year. Further, he was granted an equity award that’s 75 percent performance and 25 percent time-based vesting, instead of 50-50 like 2022’s. 

The truth is that Cook, who vowed to donate his fortune to charity a few years ago, will likely earn more than $49 million this year due to stock awards and bonuses. According to Bloomberg, he earned $99.4 million in 2022, which was $15.4 million more than his target salary for the year. In 2021, his total pay package was $98.7 million. Critics like advisory firm Institutional Shareholder Services previously urged shareholders to vote against Cook’s pay package, citing concerns about how big his equity award is and how it’s structured. “Half of the award lacks performance criteria,” the firm previously said. This shift in Cook’s compensation reflects the changing attitude towards executive pay, and the CEO might be setting an example for his peers. It is, after all, uncommon for an executive his level to recommend that their own pay be cut. 

Mercedes will reportedly drop the EQ brand to prepare for an all-electric future

Don’t worry if Mercedes’ insistence on EQ branding for electric cars seems arbitrary — the naming scheme might not last much longer. Sources speaking to the German daily Handelsblatt claim Mercedes will drop the EQ brand as soon as late 2024, when it’s expected to debut its next wave of compact cars. Simply put, the company won’t have much use for the label when more and more of its cars will be electric.

Mercedes first used the EQ name on production cars with 2019’s EQC SUV. Since then, the company has applied the branding to both electrified versions of conventional designs like the EQB as well as unique models like the EQS SUV. Concept cars like the long-range EQXX have similarly stuck to the nomenclature.

In a statement to Reuters, a Mercedes spokesperson said it was “too early” to divulge plans. However, the representative said the automaker would “adapt” the use of the EQ brand as it transitioned to an all-EV lineup by 2030. The identification still plays a key role in the company’s current electric vehicle strategy, the spokesperson added.

If the report is true, the rethink won’t come as a surprise. While car manufacturers have frequently used names to highlight electric powerplants, such as the Chevy Bolt and Ford Mustang Mach-E, they’re starting to rely on more traditional monikers as EVs become more commonplace. Chevy’s upcoming electric Blazer is one example. EVs will eventually become the default, and companies won’t get to use the presence of an electric motor as a selling point.

Netflix’s ‘Formula 1: Drive to Survive’ will return for its fifth season on February 24th

Formula 1: Drive to Survive, the docuseries that helped the motorsport become a bigger deal in the US, will return for its fifth season on Netflix on February 24th. That’s smart timing, since the three-day preseason test for this year’s F1 calendar wil…