According to Rapleaf CEO and venture capitalist Auren Hoffman, open source software has dramatically increased the productivity of software engineers. In a June 23, 2009 article in Tech Crunch titled “Engineers Are The Best Deal – So Stock Up On Them,” Hoffman writes:
Software engineers today are about 200-400% more productive than software engineers were 10 years ago because of open source software, better programming tools, common libraries, easier access to information, better education, and other factors. This means that one engineer today can do what 3-5 people did in 1999!
The advent of open source software makes engineers particularly efficient. One VP Engineering that I talked to gave me an anecdote about one module where they used open source files with about 500,000 lines of code and then wrote 7,000 lines of code to stitch it all together. Open source software is also free. In the company I was running in 1999, “software” was a huge budget line item – we had to buy databases, testing suites, libraries, and more. Today all that stuff is free … a start-up might spend more money on sodas for the office than it does on software.
We’re all familiar with Moore’s Law – that the power of computers doubles every 18 months. In my 15 years of software development, I’ve seen 5x-10x productivity gains in engineers. Which could mean that the productivity of a well-trained engineer doubles every five years. (note that this Law is much harder to prove than Moore’s Law – but potentially just as profound). That would mean that the productivity of an engineer is growing at roughly 14.9% per year! That’s fast … really fast … much faster than the 2.6% yearly gains than the population as a whole is making.