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To be clear, it's the first 10 engineers, a very different group from the first 10 employees.

No question that the economics of FAANG is way better than an average YC company. That's an easy one. I don't have the data, but the economic outcome is easily 2-5x, maybe more.

Following cohorts of engineers are a fraction of what I outlined so the economics are different. It's too hard for me to do the work to get an exact calculation, but probably the next cohort of 10 engineers is something like 1/2 that, and then subsequent ones are down to 1/3 or 1/4. They're joining years later and so taking on much less risk at that point.




Thank you for your reply. Makes sense.

By the way, thank you for running this AMA and answering all the questions with so much clarity and transparency. What an example!




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