Great comment. Made me reflect on the need for different kinds of software development - each relevant, but completely different in execution.
The “cloud wage” story could be very compelling in such situations, but it will likely lead to a lot of issues with the more complex systems. Someone has to be the true “architect” and own the successful evolution of the software/business.
Back in 2014, this article struck me as very insightful on the subject: https://www.japantimes.co.jp/news/2014/04/07/business/gods-e...
If you only have automation or low-end jobs, you are going to lose the ability to make transformative/revolutionary moves. You will still have the ability to refine existing processes, but there are definitely diminishing returns to consider.
The other item that’s also glossed over is sheer productivity - when dealing with more complex issues, experienced developers are a lot more productive, so your $15/hr can easily turn into 10-20x more hours with the wrong experience choice, in the end costing you more.
Hate to use a cliche, but “the right tool for the right job” applies to software too.
When you are the "consulting company", you don't care. You just get to bill more hours.
If you are the client company, you don't care, either. Anyone with half a brain cell in this day and age knows that outsourcing software development is wholesale idiocy. So, if you're doing that, you are either 1) idiots or 2) outsourcing for political reasons or 3) both.
Your options to compete with them are very limited.