Earlier quoted context omitted.
FAANG total comp is a lot higher than what most other companies will pay. I think the parent poster is right -- the smaller companies will pay lower salaries and offer remote work, and the larger companies will pay higher salaries and require at least 3 days per week in the office.
Smaller salary to be able to live in much cheaper cities where your general quality of life will also be massively improved? Sounds like a win-win to me. Especially considering that the decrease in cost of living probably far surpasses de decrease in salary.
The main thing that is cheaper in cheaper cities is housing. Most of the other stuff people buy costs the same everywhere. If you move to a cheaper place and have a lower income, your non-housing expenses will become a larger portion of your spending.
Once you've worked in tech for several years in the Bay Area or Seattle you will generally be well off enough to buy a home in a nice area and still be able to save or invest a large amount every year. Housing will feel expensive but everything else will feel cheap -- even new luxury cars will cost a fraction of your income. Early retirement will be a definite possibility if you have a basic amount of self control over your spending. And if you have children, they will have access to all the opportunities that some of the country's largest metropolitan areas offer.