Earlier quoted context omitted.
FAANG used to over-employ not just due to ZIRP, but also in the fear that their engineers would build competing products. These companies enjoy healthy margins. Unemployed engineers can duplicate the core functionality and offer it for less.
This was always a myth and never a real thing, except for at the highest, bleeding edge talent levels. Especially for Enterprise Saas companies like Salesforce/Microsoft/Oracle/etc who know full well that their real competency isn’t actually the software…it’s distribution. Employees aren’t choosing to use those products, they get forced into them by management/IT or literal monopoly. Sales is everything in B2B softwa…
Then these new startups get a foot hold, and become the dominant software, grow in size and learn how to B2B sale as well.