Comment by adrianN
8 hours ago
The argument is probably that LLMs can find those optimizations cheaper than a human expert. Since LLM cost at fixed capability seems to be going down you either expect humans to be completely replaced or human wages to be lowered by LLMs.
I expect average human wages for programming to get lower and the overall percentage of the developer to move lower wage countries and this probably means away from the US and US salary expectations. Meat proxies and agentic CRUD will be off-shored to low wage Asian or even African countries with AI handling language barriers. Why wouldn't they be? Why pay six figures for a meat proxy? Product Builders should weather the storm the most, but they'll be the high end skilled PMs/engineers that of the overall industry but probably won't break 10% of total global headcount. In a world where knowing the domain will be the key driver of differentiation, as building averages out and knowing the customer and how to market to them becomes the differentiator, being closer to the target market will fragment competition from four global winners with over 10k employees in a space to 100 niche/regionally tailored winners with maybe 500 employees a piece. Not to mention if you thought GDPR was a pain, wait until AI laws that vary by country to country get added in.
I also expect as AI becomes more cost sensitive once the quality plateaus (there's only so many ways to get an answer to 100% right), the data centers are going to chase where the cheap power is, and this long term is likely to be in high-solar locations. So lower latitudes. Doesn't rule out places like Texas of course, but places like India, Mexico, Brazil, Israel or Saudi Arabia will have home field advantages.