ai-talent-war

To Lure Top AI Talent, Startups Are Turning to Cold Hard Cash

Median startup SWE base jumped 25% since 2022; total comp only 18%. The gap is the story: equity's share of the package is shrinking. Startups are paying FAANG cash without FAANG revenue, and the retention mechanism that made equity valuable — time-locked upside — is dissolving alongside vesting cliffs. The bill comes due when the funding cycle turns; the base rate on every well-funded AI startup becoming a generational business is about 2%.