This story appears in the
April 2000 issue of
Entrepreneur.
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Think all those young executives at Internet start-ups have
loads of cash on hand to spend freely? Think again. A recent study
by PricewaterhouseCoopers found that Internet companies pay modest
salaries but reward managers and directors with equity.
According to the study, titled "PricewaterhouseCoopers
Compensation Survey of Dot.Com Executives," the average total
direct compensation-including base salary, a cash bonus and
incentives-for a CEO at a publicly traded Internet company is a
relatively modest $1.74 million. However, those same CEOs have a
12.1 percent equity stake in their company, or a value of $468.5
million.
Melissa Campanelli is a technology writer in Brooklyn, New
York, who has covered technology for Mobile Computing &
Communications and Sales & Marketing Management
magazines. You can reach her at mcampanelli@earthlink.net.
Contact Sources
PricewaterhouseCoopers, (800) TECH-425, www.pwcglobal.com