Samsung’s Mobile Chief Earns More Than Apple’s Tim Cook
Samsung’s (SSNLF.PK) head of mobile business earns more than Apple (NASDAQ:AAPL) CEO Tim Cook, reports Reuters. Samsung CEO of IT and Mobile Communications J.K. Shin received a compensation package totaling $5.8 million in 2013, more than what the head of its Cupertino-based rival earned last year. Shin’s earnings were revealed under new regulations that require the Korea-based company to disclose the compensation packages of executives who earn more than 500 million won, or about $470,000.
According to a regulatory filing Apple submitted to the Securities and Exchange Commission last December, Cook earned about $1.4 million in salary and a bonus of $2.8 million for a total compensation package of almost $4.3 million in fiscal 2013. Apple also contributed $52,721 to Cook’s 401(k) account, life insurance policy, and other benefits. However, Cook’s total compensation package in 2013 was only slightly more than the $4.17 he earned in 2012.
Shin, who heads up the division of Samsung that competes directly with Apple, received a compensation package that included a base salary of 1.17 billion won, as well as 1.6 billion won in incentives and performance bonuses. As noted by Reuters, Shin has been Samsung’s CEO of IT and Mobile Communications since 2009 and has overseen the release of several iterations of the company’s line of flagship Galaxy smartphones. The Galaxy smartphones’ resemblance to the iPhone led Apple to file a patent-infringement lawsuit against Samsung in 2011. After a California jury awarded Apple $1.05 billion in damages in 2012, a damages retrial lowered the total damages award to approximately $930 million.
The two companies are due to begin a new patent-infringement trial on Monday that will focus on features found in Google’s (NASDAQ:GOOG) Android operating system that is used by Samsung. Like the previous two trials in California, this trial will be presided over by U.S. District Judge Lucy Koh.
Besides disclosing how much mobile chief J.K. Shin earned, the regulatory filings also revealed that Kwon Oh-hyun, the head of Samsung’s component business, earned 6.77 billion won, or about $6.3 million. Yoon Boo-keun, the head of Samsung’s consumer electronics business, earned 5.09 billion won, or approximately $4.8 million.
Although Samsung’s regulatory filings revealed previously unknown details about its executives’ compensation packages, Korea’s new rules have also been criticized by some for not going far enough. According to Reuters, the new rules don’t require companies to disclose compensation details for owners of Korea’s large business conglomerates that have non-executive titles.
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