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what's up everybody how's it going in
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this video I'm going to share my honest
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thoughts about the current software
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engineering Market in
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2024 I figure that the best way to do
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that is to share first my unfiltered
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negative thoughts about the software
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engineering Market in 2024 and then to
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share my unfiltered positive thoughts
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about the market right now and then we
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can kind of combine the two thoughts
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together and come to a conclusion so
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with that said I have to give you a
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warning the first half of this video is
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going to be quite negative so if you're
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kind of feeling down right now if you're
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struggling to get a job or something I
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would encourage you to watch the entire
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video because the first half is
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definitely not going to motivate you or
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make you feel any better it's going to
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probably like make you feel even worse
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but I do think that this is the best way
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to share my honest thoughts about the
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market so with that said the negative
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thoughts about the software engineering
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industry right now what is so negative
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about it well to put it simply I think
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it comes down to right now is a brutal
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time to find a job as a software
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engineer particularly for the software
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Engineers that fall in the bracket of no
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work experience all the way to four to
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five years of work experience which is
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basically senior software engineer at
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that point so very very brutal to get a
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job as a software engineer especially in
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that bracket and what makes this even
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worse the really depressing part of this
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is that that honestly I don't think it's
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going to get better anytime soon if ever
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like there's a world where it doesn't
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get better than right now now in order
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to understand why it's so brutal right
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now we have to rewind the clock a little
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bit and go back to the Golden Era of
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tech which I'd like to think is like the
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2010s but particularly the latter half
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of the 201 TS so let's say 2015 2016 and
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beyond all the way to
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2022 and uh going back there I'm going
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to share uh very briefly my story how I
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got into Tech because it's very relevant
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here I got into Tech uh after I
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graduated from college in 2016 I had
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never written a line of code many of you
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know this uh I had a degree in math and
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um I remember the the few jobs that I
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had applied to that had nothing to do
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with tech nothing to do with software
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engineering they were all offering like
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the the sort of advertised salary ranges
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were somewhere between like 40,000 to
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$60,000 a year and this was in New York
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City mindu which is a high cost of
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living area arguably the highest cost of
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living area in the United States and um
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I remember I had some friends who were
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like the same age as me just graduated
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from college but with a computer science
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degree who were Landing jobs that were
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paying you know 110$ 1220 $130,000 a
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year here in Silicon Valley and I was
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like okay wait like what is going on
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here and that's why I decided that I
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need to learn to code I went to a coding
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boot camp for about three months learned
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to code really enjoyed it and then got a
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job at Google which is right around the
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time that I uh founded my company algo
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expert and uh the key Point here is that
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I was not the only person to do this
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right there were many other people who
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did this at the same time as me and then
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after me you know after 2016 so in 2017
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18 all the way through 2022 more and
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more and more and more people did the
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exact same thing now not all of them
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were new grads like me many of them were
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in other Industries you know they were
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like two five 10 years 15 years into
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their careers and they were like uh I'm
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not making a lot of money or I just
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don't really enjoy my job and they s
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this opportunity in Tech and so they
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flocked to it it was this feeling of you
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know there is easy money to be made out
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there easy good money not like bad money
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not small money a lot of money to be
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made out there with a low barrier to
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entry I have to get in and so over these
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you know the second half of the the 2020
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2010's decade into 2020 and Beyond you
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had hundreds of thousands of developers
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that flocked into the industry and the
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industry meaning the companies you know
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software engineering companies or
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companies hiring software engineers
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welcomed them with open arms they hired
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most of these people and the reason they
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did is because back then everybody was
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hiring can you imagine that back then
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there was at least supposedly there was
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a shortage of software Engineers like I
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remember when I got in the field and and
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during the few years after I got into
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the field you kept hearing that there
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was a shortage of software Engineers
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there were not enough software Engineers
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to fill the demand from companies like
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companies were hiring too many rules
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needed to fill too many positions and
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there weren't enough software Engineers
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or at least qualified software Engineers
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very hard to imagine like right now in
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2024 when everything seems so but
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so okay you had all these people who
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flocked into the industry and the
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industry accepted them so everything was
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you know great all sunshines and
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rainbows until early to mid 2022 why
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what happened in early to mid 2022
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interest rates in the United States and
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in many places in the world started to
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go up and so that meant that slowly but
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surely slowly but suddenly money became
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very expensive to borrow money became
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very expensive to raise and so what do
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companies do when money becomes hard to
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borrow money becomes more expensive to
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borrow hard to raise they start to be
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much more defensive of their money
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suddenly Money Matters suddenly it
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matters that you're profitable if you're
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a big company it matters because you
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want your stock price to keep going up
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if you're a small company or like a
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startup it matters because if you're not
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profitable you die if you can't raise
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money right and so what these companies
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did is they started to know cut costs
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you know we need to make sure that we
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can make money that we can make a good
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amount of money we cut costs and so they
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stopped hiring they stopped or they
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slowed hiring but a lot of them stopped
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hiring altogether and then on top of
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that many of them did layoffs so what
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happens when so many companies stop
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hiring and do layoffs well you've got
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the entire cohort of like new upand
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cominging software Engineers from 2021
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to 2022 is that can't find a job
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suddenly and then you've got the entire
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like you've got you've got a huge amount
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of software Engineers from the cohorts
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of like 2016 all the way to 2022 that
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get laid off so they get thrown back
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into the market and they also need to
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find a job so suddenly you've got all
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these software Engineers competing for
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the few jobs that are still available
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cuz we have to clarify like it's not
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like everybody stopped hiring it's not
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like there were no more open software
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engine positions completely whatsoever
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no there were still some just way fewer
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I think at the bottom of the market I
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think there were like 70% or 65% fewer
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open jobs um compared to the top in like
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early to mid 2022 but so suddenly you've
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got all these people competing for very
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few positions and boom there in comes
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the brutality of the current software
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engineering job market and uh what makes
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it really particularly tough is that
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like you like for people who have no
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work experience who who only have like
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one to two years of work experience
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they're competing against people of
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their own level but they're also
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competing against people who have three
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four five maybe even six years of work
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experience because think about it
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imagine you're like a senior software
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engineer at Google and you got laid off
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in one of the Google layoffs and now the
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only job that you can find is at let's
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say a startup okay a startup called uh
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XYZ and that startup XYZ is only hiring
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for one software engineer and that
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software engineer is going to get paid
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$150,000 in let's say California okay
00:08:26
well for that senior software engineer
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from Google who used to be making
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$350,000 at Google like that is a an
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entrylevel software engineering role you
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know at least based on salary but if it
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is the only software engineering role
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that he or she can apply to and get then
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they're still going to go after it right
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and so all of a sudden all those
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entrylevel people or Junior people
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they're competing against that senior
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person for the same job which makes it
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really really brutal very brutal to uh
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land an interview very brutal to
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sometimes even find the open jobs
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because a lot of companies they don't
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even need to put their job posts on like
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open you know job boards because they
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get flooded with applications and
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instead they can just like go to their
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internal existing software engineers and
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just get referrals like that um but and
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then it's it's a lot harder also to pass
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the interviews because if you've got you
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know let's say like a thousand people
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applying for one job or you know 10,000
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people applying for one job you know you
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narrow it down to like I don't know 50
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people and then of those 50 people all
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interviewing for that one position and
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so the the bar to to pass is much higher
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and uh yeah it's all around brutal now
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of course if you do get one of those
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highly coveted interviews you you want
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to make sure that you prepare and that
00:09:41
you do very well because that's going to
00:09:43
you know be your your one shot at
00:09:44
Landing that job so here of course I'm
00:09:46
going to recommend that you check out my
00:09:48
company algoexpert algoexpert.io we've
00:09:50
got you know the best uh software
00:09:51
engineering interview prep materials
00:09:53
across all disciplines like coding
00:09:55
interviews systems design machine
00:09:56
learning front end definitely check it
00:09:58
out infrastructure iOS
00:10:00
um algoexpert.io us a promo code clam CM
00:10:02
for discount on the platform but so as
00:10:05
we just said yeah very very very brutal
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market and the reason that it's not
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going to get better anytime soon and
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perhaps ever which to me is the is the
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more negative part of this entire story
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is that um companies have kind of
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realized that they're not really worse
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off now with you know half as many
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software Engineers than they were before
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and here to be honest I think you know
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there's a few components at play uh one
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of the components is that particularly
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in the big companies like fan companies
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Google meta Amazon uh a lot of them you
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know throughout the 2010s they were in
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their hyper growth mode um now you know
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they've been alive for like 20 30 plus
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years and some of them are really
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reaching like maturation where it's a
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lot more kind of like maintenance you
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know improve the existing systems and
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products which you know may or not be
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may or may not be the best like you know
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strategic way to keep the company going
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but uh the point is like if they're not
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in super hypergrowth mode they may not
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need as many software Engineers as they
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needed before and then also uh the other
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the other component to this is just that
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you know um you don't need that many
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software Engineers I think a lot of
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companies back in the the 2010s over
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hired they saw everybody else was hiring
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and they were like okay well we need to
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hire two especially like in the startup
00:11:32
world it was like to raise money you had
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to say that you were going to be hiring
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100 people or 200 people which is just
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complete nonsense if you know anything
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about software engineer you know that
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you know past a certain threshold you
00:11:44
start to lose productivity so the fact
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that so many companies have realized
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that they're basically better off with
00:11:50
fewer software Engineers really doesn't
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help and then on top of that on top of
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that you have two letters that got
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sprinkled into the mix and that didn't
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make anything any better and these two
00:12:03
letters are a i artificial intelligence
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I think that you know we all knew that
00:12:09
AI was coming like during the 2010s uh
00:12:12
you know I kept hearing like machine
00:12:13
learning machine learning AI but it's
00:12:15
really in 2022 with the launch of Chad
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GPT that things just started like to
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explode and then you know year after
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year month after month it's just been
00:12:23
absolutely insane and um AI has gotten
00:12:26
to the point where like you know there's
00:12:29
an argument to be made that maybe it's
00:12:31
going to obsolete software Engineers
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altogether like this morning I saw
00:12:33
another video of like someone you know
00:12:35
demoing an AI tool that was doing like
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front end Engineers work you know
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building like a website with just like a
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one paragraph prompt and it's like
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actually legitimately pretty good and
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impressive and like responsive design
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and actual like you know uh clean UI and
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and cool ux and all that but even if it
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doesn't completely obsolete uh software
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Engineers it's certainly making them way
00:12:59
more productive and so you know the idea
00:13:01
is like if your engineers are suddenly
00:13:04
doubly productive like do you need as
00:13:06
many Engineers or can you just cut your
00:13:08
software engineering Workforce in half
00:13:10
you know maybe you can cut it in half um
00:13:12
and so I think that that that's not
00:13:13
helping you know like the the whole AI
00:13:16
fear is not helping uh with the current
00:13:21
job market for software engineers and
00:13:22
it's certainly not helping with the like
00:13:24
psyche of software Engineers like that
00:13:26
that thought that you have in the back
00:13:28
of your mind of like am I going to be
00:13:30
completely obsolete within like five
00:13:32
years or three years or one year given
00:13:35
the the pace of AI you know that's not
00:13:37
helpful um and so yeah those are my
00:13:40
honest negative thoughts we're going to
00:13:42
get to the positive in a second those
00:13:43
are my honest negative thoughts on the
00:13:45
current software engineering Market in
00:13:48
2024 now let's get into the positive I
00:13:52
know that was a lot of negative if you
00:13:54
made it this far um what would be a
00:13:56
positive Emoji let me look on my like
00:13:59
what's a positive Emoji okay if you made
00:14:01
it this far in the video just put a a
00:14:03
party emoji so whether it's like the
00:14:05
confetti or like the the little Emoji
00:14:07
that's like blowing the the party thing
00:14:10
or like you know a balloon just put one
00:14:12
of those emojis if you made it this far
00:14:13
in the video and I'll try to hard it um
00:14:16
that that'll that'll uh tell me that you
00:14:18
you made it through the the negative uh
00:14:20
part of the video so the positive part
00:14:22
of the video okay what are my positive
00:14:24
thoughts about the industry well first
00:14:26
and foremost um companies are still
00:14:29
hiring flat out just got to say it like
00:14:31
there are still jobs out there uh and a
00:14:33
good amount of them um anecdotally I can
00:14:36
tell you that uh I've been contacted
00:14:38
numerous times now by uh recruiters at
00:14:41
meta and Google asking me if I want to
00:14:43
come back to work there now granted I
00:14:45
worked at those companies so they're
00:14:47
asking me if I want to come back but
00:14:49
still that means that they're hiring and
00:14:51
excuse me the most recent of these
00:14:53
emails was uh just like a month ago I
00:14:56
think or two months ago and I also had
00:14:58
uh one of my friends he was my cooworker
00:15:00
at Google he joined Facebook right after
00:15:02
I did he's still there you know like
00:15:04
four five years later now he got
00:15:07
promoted and he uh just a week ago told
00:15:09
me that like if I ever wanted to come
00:15:11
back at you know meta his team has
00:15:12
headcount so they're hiring um and just
00:15:15
you know again anecdotally speaking I've
00:15:17
heard from a lot of people that meta is
00:15:20
hiring and actually quite aggressively
00:15:22
within the context of like the current
00:15:24
market but they are hiring quite
00:15:26
aggressively so um you know companies
00:15:28
are hiring there's a lot of pockets in
00:15:32
the world that are hiring like just
00:15:34
because one industry has been really
00:15:36
badly affected does it mean that all
00:15:38
Industries have been badly affected
00:15:39
remember during the pandemic you know
00:15:41
some industries were really like
00:15:43
destroyed While others were thriving and
00:15:45
by the way like you know during the
00:15:47
pandemic tons of people got into
00:15:48
software engineering right because it
00:15:49
was so easy you could do it remotely but
00:15:51
so here you know one example that I gave
00:15:53
in a recent video I'll give it again is
00:15:54
like the blockchain industry crypto
00:15:56
industry uh they're hiring a lot two
00:15:59
companies that come to mind are coinbase
00:16:01
and chain link Labs they're both remote
00:16:03
companies they're both you know really
00:16:05
like leaders in the space and they're
00:16:07
hiring so if you're a software engineer
00:16:08
go check out their career pages and many
00:16:10
other companies in that space and uh
00:16:12
just in general like I don't know like
00:16:14
Airlines you know maybe airlines are
00:16:16
hiring or maybe uh credit card companies
00:16:18
are hiring you're just got to look
00:16:19
around right and uh you will find uh
00:16:22
some open jobs now the second thing that
00:16:26
I think is not all doom and gloom and is
00:16:28
actually quite positive is AI I will
00:16:31
take the reverse side of that argument
00:16:32
before that I don't think AI is
00:16:34
something that you should fear I really
00:16:36
really don't think that AI is going to
00:16:38
replace software Engineers even though I
00:16:40
will concede that AI is extremely
00:16:43
impressive and the pace of advancement
00:16:46
is like starting to make you feel like
00:16:47
huh it's going to be able to do things
00:16:49
that I never thought were conceivable
00:16:52
before however it I don't think it's
00:16:55
going to replace software engineers at
00:16:56
least not anytime soon like not in the
00:16:58
next five to 10 years and you know the
00:17:00
best point I can give you is like you
00:17:03
you you are delusional if you think that
00:17:05
a sane rational competitive business is
00:17:10
going to risk like getting rid of all
00:17:12
their software engineers and replacing
00:17:15
them with AI that just makes no sense
00:17:17
like the risk of that the risk of
00:17:19
suddenly you have a bug that is like
00:17:20
unfixable or your entire website or
00:17:22
company goes down and you you can't do
00:17:24
anything about it because you just have
00:17:25
an AI that like is stuck is just
00:17:27
ridiculous and so I really don't think
00:17:29
that AI is going to completely replace
00:17:30
software engineers and even the whole
00:17:32
thing about like it makes them so
00:17:34
productive that suddenly you need fewer
00:17:35
Engineers I don't think that's like
00:17:38
quite accurate I think that maybe for
00:17:40
for a few companies for some companies
00:17:42
where it's like hey we really only need
00:17:46
one or two software engineers and if
00:17:48
they have ai we truly have no reason to
00:17:51
hire a third
00:17:52
engineer okay fine maybe those like AI
00:17:55
will have a bit of an impact you'll get
00:17:57
only two two workers instead of three
00:18:00
but I think for most companies
00:18:01
especially like the ones that are in
00:18:03
hyper growth mode and and that are you
00:18:05
know constantly trying to to to beat out
00:18:07
the competition and everything like you
00:18:09
want your your your Workforce to be as
00:18:12
productive as possible and so if all
00:18:14
your engineers you've got 10 engineers
00:18:16
and suddenly they're 10x Engineers great
00:18:18
you're going to have 100x the the
00:18:20
productivity um and you're not going to
00:18:22
just like cut them in half you know
00:18:24
there's always more work to be done and
00:18:26
you know this brings me to to to another
00:18:28
point which is
00:18:30
like software engineering is not going
00:18:34
anywhere I think like the some people
00:18:36
are just leaning too much into the
00:18:38
dorismar engineering is gone you know
00:18:40
software engineering is a is a dying
00:18:42
industry like no that's akin to if you
00:18:45
had said you know a thousand years ago
00:18:47
400 years ago 100 years ago that you
00:18:49
know construction workers weren't going
00:18:50
to be needed in the future because you
00:18:52
would be able to build things way
00:18:54
quicker and and everything it's like no
00:18:56
you're just going to build more things
00:18:58
and so therefore you're going to need
00:19:00
more and more construction workers I
00:19:01
feel like they're more construction
00:19:03
workers right now than ever before so I
00:19:05
think the same is is going to be true
00:19:07
for software engineering I think like
00:19:09
there the field is not at all going to
00:19:12
die it's still it's still going to going
00:19:14
to thrive and keep on thriving and I
00:19:16
guess the final sort of positive thought
00:19:18
that I have here is overall I think that
00:19:21
like it is very
00:19:24
pointless for you to
00:19:27
to let
00:19:29
like it's very pointless for you to to
00:19:32
let these external things that you can't
00:19:34
control like interest rates or like AI
00:19:38
uh lead your life so instead of like
00:19:40
worrying too much about these things
00:19:42
that you can't control why don't you
00:19:44
worry about the things that you can
00:19:45
control like you can control how hard
00:19:48
you study computer science you can
00:19:50
control how uh put how much time and
00:19:53
effort you put into networking and into
00:19:55
applying to jobs you can't control how
00:19:57
much time and effort you put into
00:19:58
preparing for uh coding interviews or
00:20:00
systems design interviews or whatever
00:20:01
you know algoexpert.io um you you can
00:20:04
control all these things and so you know
00:20:06
why don't you just try and focus on
00:20:08
being the best version of yourself out
00:20:10
competing everybody and getting that one
00:20:12
position that has tons of competition
00:20:14
around it like it's still doable you
00:20:15
know there's going to be someone who
00:20:17
gets that position and it's not always
00:20:19
going to be the person with the most uh
00:20:20
work experience so um you know you
00:20:23
should uh you know grab control of your
00:20:26
life you know you have you have your own
00:20:29
agency uh you have you you are in
00:20:31
control of your own destiny for the most
00:20:32
part um now as as sort of like final
00:20:36
thoughts mixing the negative and the
00:20:38
positive together um I will say that
00:20:42
overall I think that the Golden Era of
00:20:45
tech as we knew it in the 2010s
00:20:47
particularly the second half of the
00:20:49
2010s is probably over I think that the
00:20:52
like back then it was the Golden Era
00:20:54
because it was the easiest meaning the
00:20:58
the the least amount of like barrier to
00:21:00
entry the highest paid and the most like
00:21:04
relaxing and with the best workwise
00:21:07
balance career out of basically in a
00:21:11
career in my opinion and I think in a
00:21:13
lot of people's opinion which is why you
00:21:14
had so many people jumping into it now
00:21:18
the only part that I think is not true
00:21:20
is like the barrier to entry it's no
00:21:22
longer the easiest barrier to entry like
00:21:24
it has some barriers to entry which is
00:21:26
like there's a lot of competition right
00:21:27
now and they're there aren't as many
00:21:29
like open jobs as there used to be but
00:21:31
it's still very high paying it's still
00:21:33
very chill like very good work life
00:21:35
balance compared to most other
00:21:37
Industries and like with like all things
00:21:41
considered I think is just software
00:21:42
engineer engineering is now more of a
00:21:45
normal typical career that has pros and
00:21:47
cons high paying great work life balance
00:21:51
you know all things considered you're
00:21:52
not really like exhausting yourself
00:21:54
during the day when you're you know a
00:21:55
software engineer but it's tough to get
00:21:57
it's tougher to get the it was before I
00:22:00
would still recommend to someone who's
00:22:01
like 18 or in their 20s who doesn't know
00:22:04
what they want to do with their life and
00:22:05
just wants to make like good money have
00:22:07
a good life you know I would still say
00:22:09
like get into software engineering I
00:22:10
don't think that there's a a better path
00:22:13
than software engineering despite the
00:22:14
fact that it's tough to get into
00:22:15
software engineering right now
00:22:17
particularly as an entry-level developer
00:22:19
I still think it's the best career path
00:22:21
so these are my honest unfiltered
00:22:25
thoughts on the industry right now in
00:22:26
2024 let me know what you think think
00:22:28
about my thoughts in the comments below
00:22:30
do you agree do you disagree do you have
00:22:32
any thoughts that you want to share
00:22:34
definitely let me know in the comments
00:22:36
and uh don't forget to smash the like
00:22:37
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00:22:39
to the channel if you haven't already
00:22:41
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00:22:43
and I will see you in the next video
