Yea, that's like saying Google pays $1M/yr. I'm sure they do to some people, but that's only after a key player has been headhunted by Facebook or something.

At least one of the betahouse guys did a JD/Phd at Harvard and passed the bar in NY and MA, but still by all accounts seems to indicate that he's significantly happier programming than lawyering.

I don't think its about the money, but rather the environment, lifestyle, and culture. Being a freelance software dev in Cambridge isn't a bad gig as long as you've got stable incoming projects.