As Silicon Valley tech behemoth Microsoft Corp sees a booming surge in share prices, all eyes are turned towards chief executive officer Satya Nadella’s net worth and earnings. The Indian American executive has time and again propelled the company to greater heights with his industry expertise, strategic acquisitions, tough decisions and smart investments. Hence, with the company’s artificial intelligence (AI) driven innovations going big, Nadella’s income has also seen a colossal rise.
According to a report by Fortune, the flurry of AI investments and Nadella’s announcement to offer a “USD 30-per-month subscription to supplement its existing Office365 products” have led to the increase in share prices on 18 July 2023.
More about Satya Nadella’s net worth, education, career growth and more
Satya Nadella’s net worth and earnings
Fortune states that Microsoft’s company filings of 2022 show Satya Nadella earned a salary of USD 55 million, and according to Bloomberg findings, this brings his total compensation to over USD 1 billion since he became the CEO in 2014.
Bloomberg states, “Nadella’s boon includes all payouts he has collected from Microsoft that can be parsed from regulatory filings: equity grants, salary, bonuses and dividends. It’s underpinned by Microsoft shares returning more than 1,000% since his first day in the top job.” However, Microsoft spokesperson Frank Shaw told the publication that the CEO “does not have net worth [sic] of a billion dollars or more.”
The staggering USD 1 billion value puts Satya Nadella in the elite club of corporate billionaires who have drawn such compensation as an employee. Equity grants, service and performance-based payouts, and cash bonuses and dividends form a huge bulk of his earnings. Hence, a large part of Nadella’s income depends on Microsoft’s share price.
Microsoft under Satya Nadella
Nadella took the chair in 2014, which many perceived to be the company’s twilight period. However, through his efforts, the CEO pushed it to become a pioneering name in the realms of network and cloud computing. These steps have helped the Bill-Gates-co-founded company diversify its business while developing the core Office products.
Nadella’s idea to steer Microsoft to enter the AI sector with a multibillion-dollar investment in OpenAI and ChatGPT became his most pivotal step. “Today, it’s [Microsoft] the second-largest company in the world and is considered the frontrunner in the race to capitalise on artificial intelligence,” says Bloomberg. Not only did it push the company ahead of rivals like Alphabet Inc. in terms of AI strengths, but the move also earned a 50 per cent rise in stock in 2023.
Such plans and strategies bore enormous fruit for both Nadella and Microsoft. On his first day as CEO, on 4 February 2014, Microsoft shares closed at USD 36.35. Nine and a half years later, the figure stood at USD 364.02 on 18 July 2023.
He is also credited for propelling the tech giant past the USD 2 trillion mark in market capitalisation, which currently stands at USD 2.59 trillion. It only trails behind Apple, which has a market cap of USD 3 trillion.
Satya Nadella: Careers and jobs
Nadella started his career with the software firm Sun Microsystems. He joined as a member of the technology staff. Then, in 1992, he joined Microsoft and steadily rose through the ranks, especially from 2000 onwards. In the Y2K, he was promoted to an executive role. After that, he was employed in various divisions of Microsoft. However, Nadella’s stand-out moment came when he was made the executive vice president of Microsoft’s Cloud and Enterprise group in 2011. Under his leadership, the group’s business, in 2013, ballooned to USD 20.3 billion. This catapulted him to the CEO’s role in February 2014. Satya Nadella is only the third person to hold this coveted position at Microsoft after Bill Gates and Steve Ballmer.
In 2014, he led the takeover of Mojang, a Swedish video game company responsible for creating Minecraft. This was followed by the acquisition of Xamarin and Linkedin in 2016. Two years later, he scooped up GitHub for USD 7.5 billion.
Satya Nadella’s life and education
Satya Nadella was born Satya Narayana Nadella in Hyderabad on 19 August 1967. His father, Nadella Yugandhar, was a bureaucrat who had served in the PV Narasimha Rao government.
After his schooling at Hyderabad Public School, Nadella pursued electrical engineering at the Manipal Institute of Technology and graduated in 1988. For higher education, he went to the US and earned a Master of Science degree in computer science from the University of Wisconsin–Milwaukee in 1990. He also obtained an MBA degree from the University of Chicago (1997) while working full-time at Microsoft.
Nadella got married in 1993 to Anupama, the daughter of his father’s friend as well as Nadella’s junior at Manipal Institute. They had three children, but unfortunately, one of them, Zain, died in February 2022.
Awards and recognitions
Satya Nadella is a recipient of India’s third-highest civilian award, Padma Bhushan. He officially received the award in October 2022 from India’s Consul General in San Francisco, Dr. TV Nagendra Prasad.
In 2022, he was also honoured with the Yale Legend in Leadership Award at the Yale CEO Summit on 14 December, for his continued efforts in driving products and efficient leadership.
Nadella ranked sixth in the 2019 Forbes list of innovative leaders and was named the 40th most powerful person in the world in the 2018 list. In 2019, he was also conferred with the honour of Financial Times Person of The Year.
Expensive things owned by Satya Nadella
With his immense net worth, it’s no wonder that Satya Nadella owns sizeable properties. He was once the owner of a USD 1.3 million home, one of his big-ticket purchases, in Washington’s Seattle city. He sold it in 2016 and raked in more than double the purchasing amount. He is also a part-owner of an American soccer club and an investor in the US T20 cricket league, which will kickstart in 2023.
However, Satya Nadella sees time as the most valuable asset in one’s life and believes in spending it judiciously. Speaking to Business Insider, he said, “I felt that one of the things that we should make sure we do for ourselves is to give people a sense for how are they spending their time so that they can then be more in control.”
Other interesting things to know about Satya Nadella, besides his immense net worth
Satya Nadella is a sports buff too. And, as mentioned above, both he and his wife are part owners of a soccer club and an investor in the US T20 cricket league. He had also shown support for a National Football League club, Seattle Seahawks, when he posted the above image on Twitter. Like any other Indian, he has an undying love for cricket. As per a Hindustan Times report, Nadella is an admirer of both Sachin Tendulkar and Virat Kohli.
The tech wizard also has a literary flair and has authored a personal memoir titled Hit Refresh, published in 2017. All the proceeds from its sales were given to Microsoft Philanthropies. He also enjoys Indian and American poetry.
Nadella also serves as the board and committee member of several other global entities, such as Starbucks, and the Fred Hutchinson Cancer Research Center, and is a trustee member of the University of Chicago.
(Main and feature image: Courtesy Jason Redmond/ AFP)