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Joined 2 years ago
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Cake day: August 21st, 2023

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  • I’m on board with it if people want to change the terminology around these things, but it seems like the core of what the author is discussing is the valuation of these companies and potential bubbles.

    I think it makes sense that Disney and Amazon and Netflix who are able to make money through more of a SaaS-like model would have a higher valuation than a car company that has to produce a new car for every unit sold. Maybe there’s a recent example of an over-valued car company we can think of?

    Consider that an auto mechanic and a software engineer can have a similar problem-solving skill set, and could both be very intelligent. Why then does an auto mechanic make so much less money? It’s partly because of the economies of scale involved with software. The owner of the software company can sell the software to thousands of clients without having to pay the software engineer to build the software thousands of times. The owner of the auto shop still has to pay the mechanic to perform every job every time and get paid for it.

    So while I agree that Disney and Netflix maybe aren’t “Tech” companies, it seems to me the real problem the author is grappling with is whether they should be valued similar to tech companies. So I guess the question becomes, are “tech” companies highly valued because they are expected to make some huge technological leap that shakes up industries, or is it because of the economies of scale inherent in the SaaS-like business model?






  • I’d rather see H-1B than outsourcing, because an H-1B at least still has to pay a US cost of living… but it’s clear that Big Tech is abusing the system. I know several new CS graduates having a hard time finding work, and somehow these companies are saying that they can’t find applicants?

    I call bullshit, I’ve worked for companies that invested in relationships with local universities and recruited people right out of college and invested in getting them up to speed with the specific technologies they were looking for, it’s not hard.