Artificial intelligence product managers are important professionals in modern companies.
AI product managers receive compensation for their critical work in several ways, such as flat salaries and potential bonus compensation.
Those looking to become AI product managers need to know what to expect in terms of pay.
Below is a breakdown of the average AI product manager salary in accordance with the data that salary sources have reported. We also explain the factors that go into determining AI product manager salaries as well as the differences between their salaries and that of traditional product managers.
Average AI Product Manager Salary Estimates
Establishing a true average AI product manager salary is impossible. Companies that hire AI product managers do not have to release information regarding the salaries they offer their employees. However, several sources offer estimates based on reported salaries and other forms of compensation.
PayScale indicates that a senior product manager with AI skills earns an average salary of $146,000 per year.
According to the same source, most of this comes from a base salary agreement. Some AI product managers earn additional bonuses or funds from profit-sharing.
According to Salary.com, Verizon pays its AI product managers between $85,000 and $110,000 per year.
Meanwhile, Glassdoor indicates that AI product managers earn average salaries of $131,600 per year.
Based on these sources and related occupations, the average AI product manager salary is over $100,000 per year. Many earn over $120,000 per year, and some earn over $150,000 per year.
That said, an AI product manager does not earn less than $100,000 a year regardless of their experience or lack thereof.
Be sure to check out PMHQ Certified Technical Product Manager and Certified Data Product Manager Courses to sharpen key technical and data-related skills and set you on the path to being an excellent AI product manager.
Factors That Affect AI Product Manager Salary
The range of above-average salaries is wide because multiple factors go into compensation. Companies pay their AI product managers salaries based on their employees’ worth as opposed to what other companies pay their staff.
Here are three major factors that affect salaries for AI and machine learning product managers.
Companies based in expensive cities pay their AI product managers more. That’s because the cost of living in such cities is higher than what citizens have to endure in other cities. For example, it costs more to live in San Francisco than it does to live in Kansas City. Therefore, companies that require their AI product managers to live in such cities compensate them for that cost.
However, remote work is changing salary arrangements for product managers. More AI product managers work from home or online due to COVID-19-related changes. They earn the same salaries as they did before. That said, it is not uncommon for remote managers to receive reduced travel allowances since they work from home.
Companies also pay AI product managers based on their seniority or experience levels. Those AI product managers who have more experience leading teams or designing successful products earn higher salaries than new AI product managers.
Furthermore, AI product managers who stick with the same company earn more than those who’ve just arrived at the company in most cases. Many companies offer cost of living raises to long-term or consistent employees. Companies aim to award raises that fight against inflation levels and ensure that professionals receive fair compensation packages.
The highest-paid AI product managers:
- Have experience in the field
- Lead teams of data analysts or other employees
- Stick with the same company for a long time, oftentimes acquiring promotions in the process
Furthermore, project management professionals like these are also machine learning engineers. They know how to use deep learning/machine learning models thanks to their computer science backgrounds. On top of having good communication skills, this makes AI PMs have higher salary ranges on average.
Executive Leadership Responsibilities
Those AI product managers who lead large teams earn higher salaries. As AI product managers earn promotions, they leave the technical side of data analysis and product development behind. They take on increasing responsibilities in the areas of:
- Public relations communication
- Team leadership
- Company direction-setting
- Stakeholder communication
The highest-paid AI product managers are those who lead entire departments or companies. They don’t start off in these positions. In most cases, they earn these promotions over many years at the same company with excellent performance.
Apart from salaries, companies compensate AI product managers through other perks and benefits.
For example, some AI product managers accept profit-sharing agreements. Profit-sharing agreements give bonuses to employees based on a company’s performance over a certain period.
Other AI product managers receive extra compensation through flat bonuses because they have excelled in their role at the company and made a meaningful impact. For example, it is common for AI product managers who design successful products to earn bonuses from their superiors. Note that most AI product managers do not earn substantial compensation through these bonus means. Most earn the majority or all of their compensation through their salary rates.
Aspiring or young AI product managers must read employment contracts in full before signing on the dotted line. Contracts stipulate where compensation comes from and break down how much money to expect for a professional’s standard workload.
AI Product Manager Salary vs. General Product Manager Salary
General product managers also earn high salaries relative to the broader US population. However, the average product manager makes $116,000 per year. This is less than the average rate estimated above for AI product managers.
That’s because general product managers do not need to understand, data science, machine learning, or artificial intelligence to the same degree as AI product managers. They require less schooling, have fewer responsibilities, and receive lower salaries as a result.
In contrast, AI product managers must learn and maintain skill sets including:
- Data science analysis
- Machine learning
- Product development and design
- Interpersonal communication
- Target audience marketing
- Statistical analysis methods and equations
On average, AI product managers make between 15% and 20% more compared to generalist product managers. This reflects the increased expectations and responsibilities of AI product managers relative to their generalist counterparts.
Furthermore, AI product managers are more important in this day and age due to an increasing reliance on AI and machine learning data. More companies are using data to make executive decisions or chase new markets. Thus, the skills learned by AI product managers are more in demand than ever before.
Average AI Product Manager Salary Key Takeaways
AI product managers earn significant compensation for their work. They earn higher salaries than most of the working class. Most of the time, their total pay comes from their salaries, although some also earn bonus compensation through profit-sharing agreements.
Regardless, all AI product managers make good money. Those who become AI product managers live comfortable lifestyles and afford what they need even in expensive cities, such as major metropolitan areas.