Eric Chen
APPLIED MATERIALS INC /DEAbout Eric Chen
Xun (Eric) Chen, age 55, is an independent director of Applied Materials and has served on the Board since 2015. He is Executive Chairman of ParityBit Technologies, Inc. and brings deep technology, investment, and global operating experience; he serves on the Human Resources and Compensation Committee and the Strategy and Investment Committee . The Board has affirmatively determined he is independent under Nasdaq listing standards and SEC rules .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| ParityBit Technologies, Inc. | Executive Chairman; previously Co‑Founder & CEO | Executive Chairman since Aug 2023; CEO 2015 with 2016–2017 period at Team Curis | Grew global presence; focus on Big Data, AI, privacy computing |
| SB Investment Advisers | Managing Partner | 2018–Aug 2023 | Technology-focused investment leadership |
| Team Curis Group | Chief Executive Officer | 2016–2017 | Led integrated biotech/data tech companies |
| Silver Lake | Managing Director | 2008–2015 | Technology private investment leadership |
| ASML Holding N.V. | Senior VP; member of Executive Committee | Joined after 2007 Brion acquisition | Global semiconductor equipment operations leadership |
| Brion Technologies, Inc. | Co‑Founder & Chief Executive Officer | Founded 2002; until acquisition by ASML in 2007 | Computational lithography pioneer |
| J.P. Morgan | Senior Vice President | Prior to Brion Technologies | Finance and capital markets experience |
External Roles
| Organization | Role | Status | Notes |
|---|---|---|---|
| ParityBit Technologies, Inc. | Executive Chairman | Current | Co‑founded; data/AI/privacy computing focus |
| Other public company boards | — | None | No current or former public company directorships in last five years |
Board Governance
- Committees: Human Resources and Compensation (member); Strategy and Investment (member) .
- Independence: Board determined all nominees other than the CEO are independent; Chen is independent .
- Attendance: Board met four times in FY2024; each director attended over 75% of Board and applicable committee meetings. All directors except Eric Chen attended the 2024 Annual Meeting of Shareholders (minor engagement flag) .
- Executive sessions and practices: Independent Chair; regular executive sessions; majority voting for directors; proxy access; robust shareholder rights and engagement .
Fixed Compensation
| Component | Amount | Detail |
|---|---|---|
| Annual base retainer (FY2024) | $85,000 (Q1); $100,000 (from Q2) | Increased effective Q2 FY2024 per HRCC review |
| Committee membership retainers | HRCC $12,500; Strategy & Investment $10,000 (annual) | Prorated and paid quarterly |
| Chair/meeting fees | None (not a chair); ad‑hoc meeting fees at Chair’s discretion $2,000 per meeting | Not disclosed as used by Chen in FY2024 |
| FY2024 cash fees actually paid | $118,750 | Reported “Fees Earned or Paid in Cash” |
Performance Compensation
| Equity Element | Grant Date | Shares/Units | Grant Date Fair Value | Vesting/Terms |
|---|---|---|---|---|
| Annual RSU grant | Mar 7, 2024 | 1,128 RSUs | $238,121 | Vests in full on the earlier of March 1 following grant or next Annual Meeting; deferral election available; acceleration upon disability/death; change‑of‑control acceleration if not assumed and director ceases to be non‑employee director |
Director equity awards are time‑based; no performance metrics apply to non‑employee director grants (performance metrics noted in the proxy relate to executive PSU programs, not directors) .
Other Directorships & Interlocks
| Company | Relationship | Potential Interlock/Conflict |
|---|---|---|
| Public company boards | None current; none former (past five years) | None indicated |
| Prior executive affiliations | ASML (former SVP/executive committee) | Historical affiliation; no current board role; no related‑party transactions disclosed involving Chen |
Expertise & Qualifications
- Industry and Technology; Strategy and Innovation; Growth and Emerging Technologies: Experience across AI, Big Data, privacy computing; computational lithography; investment in technology sectors .
- Executive Leadership and Global Business: Senior roles at ParityBit, SBIA, Silver Lake, ASML; led global operations and expansions across APAC and Europe .
Equity Ownership
| Item | Amount/Status | Notes |
|---|---|---|
| Total beneficial ownership | 43,459 shares; less than 1% | Includes direct/indirect and RSUs per SEC definition |
| Vested RSUs deferred | 26,232 units (vested; settlement deferred until Board service ends) | Deferral election |
| RSUs scheduled to vest (within 60 days of 12/31/24) | 1,128 units; deferred to termination per election | Scheduled vesting and deferral |
| Stock ownership guidelines | Directors required ≥5x annual base retainer; all directors and executives in compliance as of Dec 31, 2024 | Aligns interests with shareholders |
| Hedging/Pledging | Prohibited for directors and Section 16 officers | Policy forbids hedging and pledging |
Governance Assessment
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Strengths
- Independent, technology‑savvy director with operational and investment expertise; active roles on HRCC and Strategy & Investment enhance Board oversight of talent, pay, and capital allocation .
- Ownership alignment via meaningful RSU holdings and compliance with director stock ownership guidelines; hedging/pledging prohibited, reducing alignment risks .
- No current public company board interlocks or disclosed related‑party transactions, limiting conflict exposure .
- Board governance practices are strong: independent Chair, majority voting, proxy access, regular executive sessions, and robust shareholder rights and engagement .
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Watch items / RED FLAGS
- Did not attend the 2024 Annual Meeting of Shareholders, though overall meeting attendance exceeded 75%; monitor ongoing shareholder‑facing engagement .
- Director equity is fully time‑based RSUs (no performance hurdles), standard for directors but reduces performance‑conditioned alignment vs PSUs; continue monitoring overall Board equity mix and refresh cycles .
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Compensation Context
- FY2024 director pay mix skewed to equity (cash $118,750; equity $238,121), aligning with long‑term value creation; base retainer increased to $100,000 from Q2 FY2024 to reflect market benchmarking .
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Company‑level signals relevant to board effectiveness
- Say‑on‑pay support was 91% in 2024, suggesting broad investor approval of compensation governance .
- HRCC uses an independent compensation consultant (Semler Brossy); change in PSU metric to economic profit for executives from FY2025 underscores focus on capital efficiency (company‑level, but indicates HRCC rigor) .