Another option is that lower software costs would significantly reduce the cost of whatever non-software product the software supports (manufactured good, electricity, services, telecom etc.) but I don't know in which industry the cost of software is a large portion of the overall product cost.

And there's another thing. A company that makes tractors can't produce food without land. A company that makes metal machining equipment can't make cars without the raw materials. But a software company that makes software that automatically makes software could just produce the result software itself rather than sell the software-making software. If AI ever reaches the point it makes software at a marginal cost that's not much higher than the cost of the AI itself, what would be the incentive of selling that AI?

The way AI makes your processes go faster will have little to do with cutting software development time in itself, but by letting an organization be made with fewer people, which in itself lowers your misalignment issues. A giant company of 200K people will still be about as messy as one today, but you might be able to do a lot more with the same number of people, just like a lone programmer today, without AI, already does quite a bit more than anyone could do by themselves the 80s.

Maybe some of the advantages are that you don't need quite as many developers, or maybe you can use a smaller marketing team, or you don't need to spend that much time answering questions, because an LLM is doing it for you, and it's tracking what it's been asked of it, turning the questions into product research. Either way, the gains come from being able to run leaner, and therefore minimizing organizational misalignment.

- shift towards throughput-oriented vs latency-oriented. Can juggle more tasks, but increasingly hard to speed up individual ones.

- strong scaling is tough. Might even see slowdowns for individual tasks, so reliable benefits come from being able to juggle more and eat the per-task inefficiency

- amdahl's law: we can't speed up tasks beyond their longest sequential (human) unit, so our work becomes identifying those bits and working on them. Related: you can buy bandwidth, but you can't buy latency

This is how I felt when I first started seeing people discuss things like AGENTS.md etc.

https://podcasts.apple.com/us/podcast/the-daily/id1200361736...

> "faster typing won't make you faster".....

I understand a Deloitte consultant has specific incentives. But let's first try to answer a baseline question: why do some companies have thousands of software engineers? What do they all do?

And then, a follow-up: what is actually the bottleneck at most companies? What causes "requirements gathering" to take long?

You know, typing fast and accurately is kind of important.

The new speed skill that developers now need is speed reading. LLMs just make copious amounts of output (from tests, documentation, diagnostics). They also produce code so quickly that a skill for focusing on weak points is so important.

Also, I have the impression that LLMs bring some gains or benefits for individuals but not relevant enough at the organization level.