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The majority of software developers are employees of corporations. As such they typically receive only a small fraction of the economic benefit derived from the
by BrentRitterbeck 16y ago
The majority of software developers are employees of corporations. As such they typically receive only a small fraction of the economic benefit derived from the value they create.
If I choose to work for myself, then usually I am accepting a much higher degree of risk. Maybe I am developing a new product, and I don't have a portfolio of other products to fall back on should my idea fail. Maybe my business is too small to take advantage of certain economies of scale.
If I choose to work for a corporation, there is a good chance that the two risks above, and many of the risks you may come up with, have been mitigated to some extent. Also, chances are I probably work in a large team. So the economic benefit is divided among more people. Furthermore, the mitigated risks warrant less return.
It's all about the trade-offs that economics so wonderfully covers. I have to disagree with your statement.
- tgflynn 16y agoSure there are trade-offs but it's very difficult to quantify how much you're giving up and how much you're getting in return. A corporate developer is constantly building up the IP portfolio of his company, but how good an idea does he have of the long-term value of his contributions ? If you knew that the value to the company of your work was 10x your salary would you still want to accept the trade-off or would you start looking for other options ?