Dara Khosrowshahi at a Glance
Dara Khosrowshahi: Net Worth, Salary, and Leadership Journey
Dara Khosrowshahi is a prominent figure in the business world, known for his leadership roles and significant impact on the companies he has led. This article delves into his net worth, salary, early life, career trajectory, and the controversies that have shaped his career.
Net Worth and Salary
Dara Khosrowshahi’s estimated net worth is around $250 million. This substantial wealth is a result of his successful career as a CEO and his stock holdings in various companies, most notably Uber. His compensation packages have often placed him among the highest-paid executives in the United States.
Khosrowshahi’s financial success is evident in his significant salary and bonuses. His annual base salary at Uber is $6.7 million, but his total compensation has the potential to far exceed this amount. In 2015, while at Expedia, he earned $94.6 million, making him the highest-paid CEO that year. In 2016, he earned another $90 million, ranking him as the third highest-paid CEO globally.
Upon joining Uber, he forfeited an estimated $160–$200 million in unvested stock options from Expedia. To compensate for this loss, Uber offered him a pay package with incentive compensation potentially exceeding $200 million. Additionally, Khosrowshahi’s employment contract includes a potential $100 million bonus if Uber’s valuation reaches $120 billion and stays there for at least 90 days, or if the company is sold at that valuation.
Early Life and Education
Dara Khosrowshahi was born in Tehran, Iran, on May 28, 1969. He was born into a wealthy family with a diversified conglomerate group. His family was forced to flee Iran just before the 1979 revolution. They first sought refuge in Europe before relocating to the United States. Khosrowshahi attended the Hackley School, a private preparatory school in Tarrytown, New York, before earning a Bachelor of Science degree in electrical and electronics engineering from Brown University in 1991.
Career Beginnings
After graduating from Brown University, Khosrowshahi began his professional career in investment banking. He joined Allen & Company as an analyst and spent seven years there, gaining valuable experience in finance and business strategy. He then transitioned to work for Barry Diller, one of his former clients. During this time, he held various positions at Diller’s USA Networks, including senior vice president for strategic planning and president, before becoming the chief financial officer of IAC, Diller’s holding company.
Expedia Group
In 2001, IAC acquired the online travel agency Expedia. Khosrowshahi played a crucial role in the company’s growth, and four years later, he was appointed CEO of Expedia Group, the parent company of several travel fare aggregators such as Hotels.com, Hotwire.com, Travelocity, trivago, and Orbitz.
Under Khosrowshahi’s leadership, Expedia experienced significant expansion and financial success. The gross value of travel bookings more than quadrupled, and pre-tax earnings more than doubled. He was one of the highest-paid CEOs in the United States during his tenure. In 2015, Expedia gave him $90 million in stock options as part of an employment agreement, contingent on him remaining with the company until 2020. His strategic vision and leadership were instrumental in expanding Expedia’s global presence to over 60 countries.
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Uber CEO
In August 2017, Khosrowshahi was appointed CEO of Uber, succeeding Travis Kalanick. Although he forfeited substantial stock options from Expedia, Uber offered him a lucrative pay package to entice him to take the helm. His appointment was not without controversy, as other potential candidates faced challenges in the selection process.
One of Khosrowshahi’s primary goals at Uber was to rehabilitate the company’s image and address the negative publicity stemming from its corporate culture. The company had faced criticism for various issues, including:
- Ignoring or evading local regulations
- Attempting to sabotage competitors
- Misleading drivers about their earnings
- Failing to inform riders about data breaches
- Allegations of sexual harassment from employees
Khosrowshahi has implemented changes to improve the company’s reputation and address these issues. In May 2019, he led Uber through its initial public offering (IPO), a significant milestone for the company.
Politics and Controversies
Khosrowshahi has been involved in political activities, including making donations to political campaigns. In 2016, he contributed to the Hillary Victory Fund and the Democratic National Committee. He also donated to the campaigns of several politicians, including Senators Patty Murray and Mike Lee.
In 2019, Khosrowshahi faced criticism after comparing the assassination of Saudi journalist Jamal Khashoggi to the death of Elaine Herzberg, who was killed by a self-driving Uber car. This controversial statement, which he described as “mistakes” that could “be forgiven,” drew criticism due to Uber’s financial ties to the Saudi government.
Personal Life and Family
Dara Khosrowshahi has been married twice. His first marriage was to Kathleen Grant, with whom he has two children: Alex and Chloe. In 2012, he married Sydney Shapiro, and the couple has twin sons named Hugo and Hayes.
Khosrowshahi comes from a family with a history of entrepreneurial success. Several of his relatives are prominent businesspeople and investors. His uncle, Hassan Khosrowshahi, is a billionaire investor and the founder of Future Shop. His cousin Amir Khosrowshahi co-founded Nervana Systems, an artificial intelligence software company. Another cousin, Golnar Khosrowshahi, founded the music publishing company Reservoir Media. Additionally, Darian Shirazi, a relative, is the founder of the software company Radius.