822 karma · joined February 21, 2011
The tough problems that take most of the time are the design and theoretical understanding of the problem. The actual tools used to implement the solution, while not trivial in their differences, are never as important as fully understanding the problem and having a good architectural design.
Or put differently, if you found me the fastest, most knowledgable person in the world with PHP web development, and then found the same guy for Scala, my assumption is they would both build a particular project in the same amount of time, all other things equal. And I could guarantee that one of the two wouldn't be "dozens of times faster" than the other.
It's definitely the case that most drivers gain a bit of speed going down a hill, but it's been that way forever and it's not something you're going to change. So if one of your main concerns is the speed of traffic outside, don't buy a house at the bottom of a freaking hill.
For example - let's play with the offer given in the article: 1.25% + $85k salary (I'm including all extras in both salaries). Given that the author made ~$142k before, the tool says that if she expects a valuation of $100M on cash out with a 1% stake (after dilution), she should have been offered $117k. That's simply not money you'll get at a 5 person startup under any circumstance, even given the very generous valuation estimate for a startup with $800k funding.
Alternately, if you join as employee #15 or so, you're probably getting closer to .1% of the company, and the calculator says that you should take a $3k deduction off market rates on a $100MM expected valuation. That's also not even close to what really happens.
The problem lies in the comparison to a VC investment. Because for a job seeker, the real comparison is "take a job with standard salary". Your calculator claims that if you could make $600k over four years at a "normal" job and $400k over four years at a startup, you would be upset at a $1MM stock payout because it wasn't 10x the $200k "investment". That is just totally asinine.
In reality, a rational decision would take any salary/equity combo that has an expected value (in the statistical sense) of $1 more than the market rate. There is no multiplier.
In any event, OnLive might as well just shut down anyway. It has completely poisoned its name and nobody worth a damn would go work there after this stunt. And it's far too ambitious a project to have any chance to thrive with B-level engineering talent working on it.
The "Ville" products are not games. They don't reward skill, you can't win them, and they don't offer any fulfilling multiplayer experience. Most real games fit one or more of these attributes.
Zynga products have more in common with cigarettes than something like Starcraft. Both of the former offer a not-terribly-fun experience that has been thoroughly optimized to provide maximum compulsion and habit. The other is made for entertainment and draws its value from people enjoying this entertainment.
The one notable exception is Poker. Poker is an actual game, and not shockingly it's the Zynga product with the most profitability and longevity.
Also, a side effect of this is that below-market value tickets create a shortage, which in turn makes it valuable to be the first to learn about new tickets. This has to be driving signups to his mailing list and twitter feed.
Nobody here is suggesting a total lack of merit pay. We're just saying that it is awful to assume that in any small group in an organization there is always someone who deserves to be fired, and someone who deserves a big bump, etc.
I can get on board with the idea that it is good to drop the bottom 10% of the company on a regular basis. But they're essentially taking very small sample sizes (individual teams), and assuming their distribution matches that of the entire company.
Or to put it another way, let's say you ranked every employee in the company 1-40,000 or whatever. You are trying to drop employees 36,001-40,000. An absolutely awful way to make that happen would be to create 4000 small groups of 10 people and then drop the bottom person from each group. Anybody who's even somewhat proficient in stats can tell you that this setup will yield results WAY off the mark. You could even quantify it with some simple analysis, and though I don't have time to do so, I'm sure the results would be horrifying.
And that's assuming a totally random distribution of people, which isn't true, and totally ignoring psychological effects of such a system. But at the very least, stack ranking is just bad science, and that should matter to these companies.
Or similarly, how do you determine that some devs build awesome video games while others maintain a corporate intranet or do some much more mundane task?
Clearly, it works. And in a theoretical sense, I can see why when everyone has somewhat similar skillsets. Can someone fill in the blanks for me when there are specialists and support people involved?
So when you see:
http://talent.linkedin.com/Recruiter
And your site is using the API to create a service for recruiters, it seems crystal clear to me that you are violating the LinkedIn TOS. This is not some grey area or some arbitrary changing of the rules - it is a very clear violation of LinkedIn API guidelines. I just don't see how this proves even a little bit that LinkedIn doesn't "care about their developers".
And for the bigger picture, it is amazing to me that a significant number of people expect LinkedIn to sit around while some other company attempts to undercut LinkedIn's own premium product using LinkedIn's API.
In general, if your business plan relies on the goodwill of another company and you provide little value to that company in return, you don't have a very good business plan.
"Getting free data via LinkedIn's API" != "Working with LinkedIn"
If your only response to this is "go cry to various small tech publications", then you're doing it wrong.
Design a great UX
Handle Credit Cards safely
Give you access to a robust infrastructure that won't crash
Market the site
Build and research a top quality e-Reader
Build data centers all around the world
etc etc etc
Bottom line is the guy made WAY more selling with Kindle/Amazon than with any other format, even given their large cut. That didn't just happen by magic. He is free to sell only with other vendors and make less money if Amazon's fees upset him so much.