Comment by dangus

Well, from my subjective POV, the earth is flat.

The point of my comment is that a subjective anecdote from a very limited perspective isn’t telling a good story about why the industry is the way it is. You said these businesses aren’t efficient but they have extremely high profit margins, which objectively paints a different picture: they are sufficiently efficient. They are more efficient than most other businesses.

All this financial risk in the industry where employees are over-hired and low interest rate VC funds are thrown around haphazardly is accepted because even a modestly successful software business has high profit margins.

The investors that funded less than $10 million to Airbnb’s series A ended up a significant shareholder of a company that has the same market cap as PNC Financial Services in less than 20 years. PNC spent 180 years getting to that size.

Software-driven products have huge profit potential and they can grow fast.

If you think I’m being some kind of pedantic loser, fine, so be it. You can put the blindfolds on and ignore a data-supported viewpoint.