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by Jasper_
2243 days ago
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> Software engineering salaries are not exorbitant. In fact, engineers may be consistently underpaid for the value delivered. What about the value of those who cooked your lunch? Without them, software engineers would starve and die, so that makes them have far more value, no? Do you think that food service workers are also underpaid? |
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Now contrast a Facebook programmer, who in one hour might be able to fix a bug that has been annoying 0.1% of Facebook's 2.5 billion users, causing them to be frustrated rather than delighted for, say, two minutes a day, for the next three years before the feature gets rewritten. Maybe that sounds trivial, but if so, shut up and multiply: 2.5 million hours of delight per month for 36 months gives you 90 million hours of delight, for the same hour of work.
So, at a rough estimate, then, the gourmet hacker is 1.5 million times as productive as the gourmet chef. Maybe if I've been overoptimistic it's only a factor of 100,000 or 10,000, but it's huge. And that's how Facebook can be profitable at all despite all the shitty and stupid things they do: capturing even a tiny fraction of the value they produce makes them wildly profitable, as long as they can successfully externalize the harm they do. Some software companies don't even need to externalize their damages.
And that's why software is eating the world.
That isn't the only reason hackers get paid more than foodservice workers. No business is going to pay more for its inputs than it is forced to; that reduces its profits. Hackers also enjoy a dramatically better bargaining position than most foodservice workers, because a hacker with US$3000 has a better BATNA than a cook with $3000: the cook is going to be trying to sell $3 burritos out of an Igloo ice chest outside of concerts while the hacker can buy a laptop, bring up a couple of VPSes on AWS, and spend a few weeks putting together a useful web service, maybe get a few dozen to a few thousand users, but at any rate can easily scale to hundreds of thousands of users. The cook is dependent on someone investing a few hundred thousand dollars (in the US) to have top-quality tools and a good location. Difficult to do yourself unless your family is rich or you graduated from the Cordon Bleu.
This is purely factual reasoning, so it cannot answer normative questions like whether it would be ethically better to pay hackers more or less. It only purports to explain the chains of cause and effect in the world that give rise to that situation, and illuminate the other possibilities inherent in the current state of affairs, and how they might change.