My understanding is that high SWE salaries require the confluence of two factors:
- Competition for talent.
- (Potential) Output value.
I think a very rough rule is that at a FAANG-like company, a really good engineer can be delivering at least $1M in revenue/value, per year.
So the only logical conclusion seems to be that there’s too much supply of qualified engineers. But then that leads me to believe that many big European tech companies are just piling up money in a vault somewhere.
- Competition for talent.
- (Potential) Output value.
I think a very rough rule is that at a FAANG-like company, a really good engineer can be delivering at least $1M in revenue/value, per year.
So the only logical conclusion seems to be that there’s too much supply of qualified engineers. But then that leads me to believe that many big European tech companies are just piling up money in a vault somewhere.
So my question is: who gets that vault money?