Comment by andreimackenzie

These are real problems, but there can also be mitigations, particularly when it comes to people scaling. In many orgs, engineering teams are divided by feature mandate, and management calls it good-enough. In the beginning, the teams are empowered and feel productive by their focused mandates - it feels good to focus on your own work and largely ignore other teams. Before long, the Tragedy of the Commons effect develops.

I've had better success when feature-focused teams have tech-domain-focused "guilds" overlaid. Guilds aren't teams per-se, but they provide a level of coordination, and more importantly, permanency to communication among technical stakeholders. Teams don't make important decisions within their own bubble, and everything notable is written down. It's important for management to be bought in and value participation in these non-team activities when it comes to career advancement (not just pushing features).

In the end, you pick your poison, but I have certainly felt more empowered and productive in an org where there was effective collaboration on a smaller set of shared applications than the typical application soup that develops with full team ownership.