alt Hacker NewsWe're already seeing large software companies figure out that they don't need 5,000 developers. They probably only need 1,000 or maybe even fewer.
However, the number of software companies being started is booming which should result in net neutral or net positive in software developer employment.
Today: 100 software companies employ 1,000 developers each[0]
Tomorrow: 10,000 software companies employ 10 developers each[1]
The net is the same.
[0]https://x.com/jack/status/2027129697092731343
[1]https://www.linkedin.com/news/story/entrepreneurial-spirit-s...
Replies
Why will we need 1000 companies tomorrow to do the same thing that 100 companies are doing today? If they are really so efficient because of AI then won't 10 companies be able to solve the same problems?
Do the booming companies pay the same as the ones who did layoffs? If you're laid off from Meta or other top tier paying company (the behemoths doing layoffs) you might have a tough time matching your compensation.
The number of software companies being started is probably at least partially the result of people not being able to find a job and starting a company as a last resort.
I think this is true in the short/medium term, hence the confusing picture of layoffs but growing number of tech roles overall. The limit maybe be just millions of companies with one tech person and a team of agents doing their bidding.
And the differentiator will be (even more than it is now) product vision since AI-enhanced engineering abilities will be more level.
Only because VC companies are throwing money at them. How many of them are actually profitable and long term sustainable
Ah, so that explains why job growth is at a steady pace and the software industry hasn’t been experiencing net negative job growth the past year or so.
How silly of me to rely on reality when it’s so obvious that AI is benefiting us all.
> We're already seeing large software companies figure out that they don't need 5,000 developers. They probably only need 1,000 or maybe even fewer.
Long-term, they will need none. I believe that software will be made obsolete by AI.
Why use AI to build software for automating specific tasks, when you can just have the AI automate those tasks directly?
Why have AI build a Microsoft Excel clone, when you can just wave your receipts at the AI and say "manage my expenses"?
Enjoy your "AI-boosted productivity" while it lasts.
Don't count all those chickens before they hatch. There might be more started but do they all survive? Think back to the dot-com boom/crash for an example of where that initial gold rush didn't just magically ramp forever. There were fits and starts as the usefulness of the technology was figured out.