AI tooling does not provide productivity gains unless you consider it productive to skip the boilerplate portion of software development, which you can already do by using a framework, or you never plan to get past the MVP stage of a product, as refactoring the AI spaghetti would take several magnitudes more work than doing it with humans from the beginning.

Amazon has demonstrated that it takes just as longer, or longer, to have senior devs review LLM output than it would to just have the senior devs do the programming in the first place. But now your senior devs are wasted on reviewing instead of developing or engineering. Amazon, Microsoft, Google, Salesforce, and Palantir have all suffered multiple losses in the tens of millions (or more) due to AI output issues. Now that Microsoft has finally realized how bad LLMs really are at generating useful output, they've begun removing AI functionality from Windows.

Product quality matters more than time to market. Especially in tech, the first-to-market is almost never the company that dominates, so it's truly bizarre that VCs are always so focused on their investments trying to be first to market instead of best to market.

If Competitor Y just fired 90% of their developers, I would have a toast with my entire human team. And a few months later, we'd own the market with our superior product.