A seismic shift is underway at Berkshire Hathaway, as Warren Buffett, arguably the most celebrated investor of the modern era—formally announced Saturday that he will step down as CEO by the end of this year, handing the reins to Greg Abel, the company’s vice chairman of non-insurance operations.
The moment, though long expected, landed with weight and poignancy during Berkshire’s annual shareholders meeting in Omaha. Buffett, 94, made the announcement with his signature humility, addressing the thousands of loyal shareholders who had gathered from around the world to witness what has now become a historic farewell.
“Tomorrow, we’re having a board meeting of Berkshire, and we have 11 directors. Two of the directors, who are my children, Howie and Susie, know of what I’m going to talk about there. The rest of them, this will come as news to, but I think the time has arrived where Greg should become the chief executive officer of the company at year end,” Buffett said during the final minutes of the meeting.
Though he had named Abel as his successor in 2021, Buffett’s decision to publicly confirm the timeline caught even some board members off guard—including Abel himself, who appeared surprised by the timing.
The announcement marked the formal close of an era that began in 1965 when Buffett purchased a struggling New England textile mill and transformed it into one of the most successful conglomerates in American history. Today, Berkshire Hathaway is a $1.2 trillion behemoth, with more than 60 subsidiaries across insurance, railroads, utilities, manufacturing, retail, and consumer goods.
Buffett Celebrated, Abel Endorsed
The response from the business world has been swift and emotional. Executives, investors, and admirers have poured out tributes to Buffett while expressing confidence in Abel’s ability to preserve and grow the Berkshire legacy.
“There’s never been someone like Warren, and countless people, myself included, have been inspired by his wisdom,” Apple CEO Tim Cook said in a statement. “It’s been one of the great privileges of my life to know him. And there’s no question that Warren is leaving Berkshire in great hands with Greg.”
A Canadian at the Helm
Born in Edmonton, Alberta, Abel joined Berkshire in 2000 when it acquired MidAmerican Energy, where he eventually rose to CEO. He earned Buffett’s trust over the years through his steady leadership, operational rigor, and deep commitment to the company’s decentralized philosophy.
In 2018, he was named vice chairman overseeing all non-insurance businesses, a role that positioned him to succeed Buffett. Abel now stands at the center of the conglomerate’s future, tasked with steering a vast and complex web of businesses, from BNSF Railway to Dairy Queen and Geico.
Buffett himself offered resounding praise for his successor, describing Abel as a hands-on leader who works harder than he ever did.
“It’s working way better with Greg than with me,” Buffett said to laughter and applause. “Because, you know, I didn’t want to work as hard as he works. I could get away with it because we’ve got a very good business.”
Capital Strategy Will Remain
One of the most pressing questions among shareholders has been whether Berkshire’s patient, value-oriented approach to investing will change. Abel answered that directly, promising continuity in the company’s capital allocation strategy.
“It’s really the investment philosophy and how Warren and the team have allocated capital for the past 60 years,” Abel said. “Really, it will not change. And it’s the approach we’ll take as we go forward.”
Abel will also inherit the stewardship of Berkshire’s massive cash reserve, which now stands at $347 billion—an enormous war chest that gives the company power to seize opportunities, particularly during market downturns.
Buffett’s Future Role
Although Buffett will step down as CEO, he indicated he will still be available in an advisory role, especially in times of crisis or major opportunity. What remains undecided is whether he will also step down as chairman of the board. That matter is expected to be discussed at the board meeting scheduled for Sunday.
Buffett has previously said his son, Howard Buffett, would take on the role of non-executive chairman in the event of his death, to help preserve the company’s unique culture. It remains unclear whether the current transition alters that succession plan.
“I think they’ll be unanimously in favor of it,” Buffett said of the board’s expected support for Abel as CEO.
Director Ron Olson, who serves on Berkshire’s board, described the moment as both surprising and inspiring.
“It surprises me, but it impresses me,” Olson said. “I am very anxious to see Warren become the Charlie Munger for Greg Abel.”
As Buffett stood before the sea of investors—many of whom have built careers, fortunes, or philosophies around his teachings—he received one final standing ovation. It was a symbolic handoff, a moment that closed a chapter in corporate America while beginning another, with Abel at the helm and Buffett, for now, still watching closely from the wings.
Who is Greg Abel?
Berkshire Hathaway is preparing for its first leadership change in 60 years after 94-year-old Warren Buffett announced that he will step down as CEO at the end of 2025. Canadian Greg Abel, confirmed as Buffett’s intended successor in 2021, assumed a broader role at the company in 2018 thanks to a promotion that tasked him with supervising Berkshire’s non-insurance businesses. Now, pending board approval, the 62-year-old will oversee a conglomerate with nearly 400,000 employees.
-
A native of Edmonton and former hockey player, Abel has worked closely with Buffett since 2000 when Berkshire acquired MidAmerican, where he was president. He rose steadily through the ranks, most recently as vice chairman, and was worthan estimated $484 million in 2021.
-
Buffett has praised Abel’s business acumen and leadership, saying in 2023, Abel “does all the work and I take all the bows.”
-
Abel plans to uphold the company’s core investment philosophy and maintain its “fortress of a balance sheet” to avoid outside financial reliance.