Analysis of software engineering team economics reveals that most organizations lack financial visibility into their engineering spend. A team of eight engineers costs approximately €1M annually in Western Europe. The article argues this financial blindness has been structural for two decades and is now being disrupted by LLM availability, forcing organizations to rethink engineering capacity and headcount models.
Strategy
The Economics of Software Teams: Why Most Engineering Orgs Are Flying Blind
LLM availability is forcing engineering organizations to confront decades of financial blindness around headcount economics, with a typical eight-person team costing €1M annually in Western Europe.
Monday, April 13, 2026 12:00 PM UTC2 MIN READSOURCE: Hacker NewsBY sys://pipeline
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