Tech executives see outsized pay gains, outpacing other C-suite roles
Median compensation for executives with technology titles jumped 45% from 2021 to 2025, reaching $2.6 million. That increase is larger in dollar terms than the combined raises for COOs, CFOs, and CIOs. The surge is attributed to intense competition for AI talent, with some new hires receiving packages far exceeding CEO pay.
A notable case involves Hims & Hers, where a new chief technology officer received a grant valued at $57.2 million, dwarfing the $13.5 million award to a new chief operating officer. However, these figures reflect grant-date valuations; the technology executive's shares had fallen to $33.6 million by year-end due to stock declines.
The pay trajectory aligns with the rapid adoption of generative AI tools following ChatGPT's late 2022 debut. Consequently, the typical technology chief now earns roughly $275,000 more than a typical operations chief, reversing a prior gap where technology leaders earned $176,000 less.
This trend could reshape corporate compensation structures, potentially widening the gap between technology leaders and other executives. Boards may face increased shareholder scrutiny over large, unvested equity awards, especially if company stock underperforms. For the broader labor market, the premium on AI expertise might accelerate career shifts toward technical roles, while also raising questions about how non-tech employees are valued during a period of rapid automation.