The Widening Tech Career Divide: Big vs Small Tech
Jan 10, 2025
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Carly Malatskey, an engineer-turned-investor and host of 'She Leads,' dives deep into the tech job landscape. She explores the crucial choice between big tech, small tech, or launching your own startup. With AI reshaping opportunities, Carly highlights the differences in career paths, particularly the evolving roles in product management and engineering. She also emphasizes the importance of self-reflection for aspiring founders and the skills needed to thrive in today's market, making it a must-listen for anyone navigating the tech career divide.
The career landscape in tech is increasingly polarized, requiring individuals to align their strengths with either big tech or small tech paths.
The role of product management has evolved towards enhancing efficiency and strategic prioritization amidst challenges posed by AI and growth.
Evaluating emotional readiness and personal motivations is essential for those considering founding their own companies in the current tech landscape.
Deep dives
Divergence of Big Tech and Small Tech Careers
The career landscape in tech is increasingly polarized between big tech and small tech roles. Individuals aspiring for big tech careers are becoming less relevant to small tech opportunities, and vice versa. This shift implies that optimizing for one path may diminish prospects in the other, which prompts the need for professionals to identify where their strengths and preferences lie. Career advice in the current environment emphasizes the importance of recognizing which tech path aligns with one’s skills and to maximize opportunities within that chosen path.
The Evolving Role of Product Management
The primary role of product management has changed significantly over the last year, particularly in the context of growth challenges and the rise of AI. Previously, product managers focused on managing growth for scaling companies, but now they must pivot towards enhancing efficiency and strategic prioritization. This shift reflects an increased need for hands-on problem solving and thoughtful consideration of product impact rather than merely overseeing teams. As product management evolves, candidates are encouraged to showcase their opinions and experiences related to driving product success in dynamic environments.
Identifying Attributes of a Successful Founder
There is a growing interest in whether individuals are suited for founding their own companies, as the current landscape presents significant opportunities for those with the right mindset. The conversation leans into the emotional readiness to embrace the challenges of founding rather than solely relying on skill sets. People who thrive in unstructured environments—those who enjoy tackling unknowns and are curious about new products—may be better fitted for the founder role. Recognizing these attributes is crucial for career growth, and many professionals may not realize their potential as founders until they introspectively assess their motivations.
Understanding Compensation Dynamics
Compensation structures in big tech and small tech companies differ vastly, impacting decision-making for career transitions. In big tech, employees often receive a well-rounded compensation package that includes liquid equity options, while small tech compensation may be heavily skewed towards non-liquid equity. This discrepancy means that perceptions about equity value can mislead professionals evaluating their options. Understanding these differences is critical, as the compensation conversation often fails to account for the unique circumstances surrounding small tech companies.
Navigating the Transition Between Tech Environments
Shifting from big tech to small tech and vice versa requires an understanding of distinct skill sets and mentalities appropriate for each environment. Big tech often values structured growth and the protection of existing products, while small tech focuses on rapid iteration and market responsiveness. Professionals should reflect on which environment aligns with their personal strengths and interests, as transitioning between the two can be fruitful but depends on readiness to adapt skills. A clear assessment of one’s strengths and what each tech segment demands can guide professionals towards successful career decisions.
In this episode, I’m joined by Carly Malatskey, an engineer-turned-investor and podcast host of She Leads. We dive into one of the most important career questions in tech today: Should you work in big tech or small tech, or found your own company? With the rise of AI and new economic conditions, these choices have never been more different. We break down how industry dynamics have changed, the tradeoffs associated with each path, and some exercises for determining the best fit for you.
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Key topics:
How AI is reshaping the tech job market
The (under-appreciated) differences between big tech and small tech
How PM and engineering roles have changed
How to assess your potential as a founder
What your worries reveal about your ideal work environment
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Timestamps:
(00:00) Teaser: Big tech vs small tech: Should you do both?
(00:35) Intro
(03:15) Why this discussion matters
(05:06) The biggest change in tech during 2024
(08:20) Why everyone should consider being a founder
(10:14) How to assess your potential as a founder
(14:44) How PM & engineering changed in 2024
(23:06) The all-important differences between big and small tech
(28:55) Assessing your fit for big vs small tech
(36:18) The challenges and benefits of working at both scales
(42:31) Do the best PMs work in big tech?
(52:17) Who this advice doesn't apply to
(54:56) Key takeaways
(56:33) Get in touch with Nikhyl
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