David Schaeffer is the CEO, Chairman, and President of Cogent Communications Holdings, a telecom company where he has been leading since January 2023. With a degree in Computer Science from UC Berkeley, he brings technical expertise to his role. He...

David Schaeffer is the CEO, Chairman, and President of Cogent Communications Holdings, a telecom company where he has been leading since January 2023. With a degree in Computer Science from UC Berkeley, he brings technical expertise to his role. He is known for his strong performance-based compensation structure, earning over $9 million in compensation for 2023 through equity awards tied to company success rather than a traditional base salary. His pay relies on the company's growth metrics, which include revenue and EBITDA increases, aligning his interests with those of the shareholders. Schaeffer holds significant stock awards, with his recent grants including 160,000 shares available if he hits key performance targets tied to revenue growth compared to industry benchmarks. An interesting fact is that he has a flexible vesting schedule for his stocks that rewards long-term success; portions of these awards will only vest years from now, showing his commitment to Cogent's future. Schaeffer's background as a tech professional and his data-driven approach to leadership reflect a modern CEO style that prioritizes both innovation and results.

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1. Rivals

2. Holdings

3. Insider Trading

4. Compensation History

5. Other Cogent Communications Holdings CEOs

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David Schaeffer

Founder and CEO of Cogent Communications Holdings

Education

Bachelor's degree in Computer Science from the University of California, Berkeley.

Field of Expertise

Technology & Engineering - Telecommunications

Sector of Economy

Communication Services

Born

February 15, 1968 - 57 years ago

CEO of Cogent Communications Holdings for

2 years 5 months (Jan 2023 - Present)

Previous Experience

Founder of Cogent Communications Holdings, Inc., extensive experience in the telecommunications industry, management roles in various companies.

Rivals

Competitors/colleagues of David Schaeffer

Holdings

See how much did David Schaeffer make over time.

David Schaeffer's holdings are heavily tied to his performance at Cogent Communications. As of 2023, he has a significant total of 160,000 shares granted. His vested stock, valued at approximately $7.7 million, showcases his stake in the company's future performance....

David Schaeffer's holdings are heavily tied to his performance at Cogent Communications. As of 2023, he has a significant total of 160,000 shares granted. His vested stock, valued at approximately $7.7 million, showcases his stake in the company's future performance. This stock doesn't just come free; it has specific vesting schedules linked to performance metrics. For instance, 72,000 shares will start vesting monthly from January 2026, rewarding long-term growth. Additionally, contingent performance-based shares up to 88,000 will vest by April 2027 as long as Cogent meets or exceeds growth expectations compared to the NASDAQ Telecommunications Index. Schaeffer's focus on growth aligns his wealth directly with Cogent's success, making his financial future closely related to the company's performance.

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Insider Trading

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No insider trades found for this CEO.

Compensation History

See how much did David Schaeffer make over time.

In 2023, David Schaeffer's total compensation reached $9.2 million, but what's noteworthy is how this structure is designed. He doesn't earn a salary or traditional bonuses. Instead, his compensation is purely based on the performance of Cogent Communications. This means he benefits from the company's success or misses out if performance metrics are not met. His stock awards play a big role; he has 105,000 shares in restricted stock that he can access only if Cogent successfully hits the revenue and EBITDA growth targets. By focusing on stock and performance-based awards, Schaeffer aligns his goals with those of the shareholders, demonstrating a commitment to Cogent's long-term success. This new approach to executive compensation reflects a shift in how CEOs are rewarded, linking their financial outcomes directly to company performance.

Year

2023

Total Compensation

$8.00M

Salary

$0.00

Board Justification

The compensation philosophy focuses on aligning executive compensation with company performance and stockholder interests, primarily through performance-based equity awards and cash incentives tied to revenue and EBITDA growth.

Bonus

$0.00

Board Justification

The CEO does not receive a base salary or bonus; his compensation is entirely performance-based through equity awards and cash incentives based on company performance.

Other

$9.92K

Board Justification

This includes employer matching contributions to the Company’s 401(k) defined contribution plan.

Restricted Stock

$7.99M(105K restricted stock)

Board Justification

The time-based restricted stock award of 72,000 shares vests monthly at 6,000 shares per month starting January 1, 2026, and the performance-based restricted stock award of 88,000 shares is eligible to vest based on performance metrics through April 1, 2027.

Performance Metrics

The performance metrics for the CEO's cash incentive include achieving at least 5% revenue growth and 10% adjusted EBITDA growth.

Other Cogent Communications Holdings CEOs

Here are other CEOs of Cogent Communications Holdings

Dave Schaeffer

Founder and Ex-CEO of Cogent Communications Holdings

May 2000 - January 2023