Startups Are Paying AI Talent Up to $400,000—and Equity Is No Longer the Main Lure
By Bruce Crumley
Published on April 2, 2026.
The increasing use of apps is leading many companies to invest in AI talent, with companies investing in candidates with starting salaries ranging from $170,000 to $400,000, a 25% increase in salary since 2022, leading to an 18% rise in overall compensation once back-end equity stakes are added. This shift is significant for startups that have traditionally paid minimal salaries up front, offsetting those with equity stakes that might generate significant payouts at the exit or stock floatation stage. However, not all employees are expected to benefit from these increases. The change is significant as high-growth startups are flush with more venture capital funding and are more likely to pay XXL salaries to get one or two candidates from the top five percent or ten percent in their field than hire several less effective ones.
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