Category: 10x developer

The Truth About “Ghost Engineers”: A Critical Analysis

The Truth About “Ghost Engineers”: A Critical Analysis

Disclaimer:
This article is not intended to discredit Boris Denisov, Stanford University, McKinsey, or any other entities referenced herein. I hold immense respect for their contributions to research and industry discourse. While findings like these may resonate with practices in FAANG companies, large organizations, and mature startups, this critique seeks to explore the broader implications of relying on narrow metrics to evaluate productivity in software engineering.

The “Ghost Engineer” Narrative

The term “ghost engineers,” popularized by a recent Stanford study, describes software engineers who allegedly contribute minimally to codebases. Analyzing data from over 50,000 engineers, the study concludes that 9.5% of engineers fall into this category, with the prevalence rising to 14% among remote workers​.

While the findings spark interesting discussions, they rely heavily on the flawed assumption that code commit frequency equates to productivity. As I argued in No, McKinsey, You Got It All Wrong About Developer Productivity, this narrow perspective risks undervaluing critical aspects of software engineering that don’t leave a visible footprint in version control systems​​.

Unintended Amplification: The Snowball Effect

One of the most significant risks of such conclusions—especially before peer review—is their unintended amplification. Articles on Yahoo, TechCrunch, and Newsday have already simplified these findings, creating narratives that could ripple through the industry:

  1. Unnecessary Layoffs: Misinterpreting data might lead organizations to hastily classify engineers as unproductive, ignoring less visible but valuable contributions.
  2. Remote Work Stigma: By associating remote work with reduced productivity, these claims risk undermining one of the most effective workforce models when well-managed.
  3. Toxic Metrics Culture: Over-reliance on activity metrics like commit counts can encourage engineers to game the system by prioritizing volume over meaningful work, as discussed in Business Value Delivery by Engineering Teams in Startups (Part 2)​.

History offers cautionary examples, such as McKinsey’s controversial reliance on lines of code as a productivity measure—a practice criticized in my earlier article for ignoring the multifaceted nature of modern software engineering​​.

Engineering Productivity: Beyond Output Metrics

As outlined in Is the Myth of a 10x Developer Real?, productivity in software engineering extends far beyond raw output. Effective engineers don’t just code—they align stakeholders, resolve ambiguity, and reduce future risks. These invisible contributions often lead to:

  • Improved Collaboration: Engineers who mentor, review code, or resolve cross-team dependencies amplify the impact of their teams.
  • Strategic Outcomes: Refactoring technical debt or implementing security frameworks might reduce visible code output while significantly improving system health​​.

Commit Frequency Misses Critical Context

  • Quality Over Quantity: A single commit that eliminates 1,000 lines of redundant code can be more impactful than 10 minor feature updates.
  • Diverse Roles: Roles like DevOps, QA, and security often contribute indirectly to engineering success but rarely generate frequent commits.

By focusing solely on visible metrics, we risk reinforcing flawed incentives, a point I emphasized in Business Value Delivery by Engineering Teams in Startups (Part 1)​​.

Analyzing the Stanford Study’s Claims

Claim 1: Engineers with Low Commit Activity Are Unproductive

Rebuttal: This assumption ignores the cognitive and collaborative aspects of engineering. As noted in No, McKinsey, You Got It All Wrong About Developer Productivity, activities like design discussions, documentation, and mentoring are essential but invisible in commit logs​.

Claim 2: Remote Engineers Are More Likely to Be “Ghost Engineers”

Rebuttal: Remote work relies on asynchronous collaboration, where documentation and long-term planning take precedence over immediate outputs. Simplistic comparisons risk stigmatizing effective remote models​​.

Claim 3: Low Commit Activity Correlates with Poor Team Performance

Rebuttal: High-performing teams often include specialists whose contributions are less visible but critical. For example, a security engineer resolving vulnerabilities or a DevOps engineer optimizing CI/CD pipelines may not show up in commit logs​.

Claim 4: Organizations Could Save Billions by Addressing the “Ghost Engineer” Problem

Rebuttal: Cost-cutting measures based on flawed metrics often lead to higher technical debt, increased turnover, and diminished morale. As argued in Business Value Delivery by Engineering Teams in Startups (Part 2), true cost efficiency lies in maximizing impact, not minimizing headcount​.

Impact vs Code-Commits: Understanding the Misalignment

A recurring issue with productivity metrics like code-commit frequency is their inability to reflect the true impact of an engineer’s work. The volume of code changes often says little about the value delivered, as demonstrated by the following examples:

Example 1: A Cosmetic UI Change vs. A Critical API Update

Imagine a product manager requests a seemingly simple change: update a button’s color from purple to orange. While this may sound trivial, it could involve:

  • Updating CSS libraries: A cascade of dependencies might require 1,000+ lines of revisions.
  • Testing for accessibility: Ensuring compliance with color-contrast guidelines adds complexity.
  • Regression testing: Updating snapshot tests or fixing broken visual diffs.

This cosmetic change could result in dozens of commits, each addressing a specific dependency or edge case.

Contrast this with a backend engineer’s work on the API gateway to improve application concurrency. This might involve:

  • Identifying bottlenecks: Profiling existing workloads and implementing a solution to reduce latency.
  • Optimizing database connections: Reducing round trips or improving query performance.
  • Deploying with minimal disruption: A single, concise commit could encapsulate weeks of planning and testing.

Here, the backend change’s impact far outweighs the UI update, even though it appears smaller in terms of commit frequency.

Example 2: Bulk Refactoring vs. Precise Bug Fixing

A mid-level engineer is tasked with refactoring a legacy module, updating deprecated methods, and restructuring a monolithic codebase for better readability. This effort generates hundreds of commits and thousands of lines of changes, none of which immediately improve the product’s features.

On the other hand, a senior engineer identifies and fixes a critical bug that intermittently crashes the application. The solution, a one-line code change after hours of debugging, resolves a high-severity issue affecting thousands of users.

From a commit-count perspective, the refactoring task appears more productive. However, the senior engineer’s single-line fix has a far greater immediate impact.

Example 3: Feature Addition vs. Security Enhancement

A frontend developer introduces a new feature, such as a user profile editor. This entails:

  • New UI components: HTML and CSS for the form.
  • Frontend validations: JavaScript-based constraints for data inputs.
  • Integration tests: Mock API responses for various test cases.

The addition spans 2,000 lines of code across 20 commits.

Meanwhile, a DevSecOps engineer works on a critical security vulnerability. The task involves:

  • Rotating access tokens: Updating key secrets stored in the CI/CD pipeline.
  • Implementing security headers: Adding CSPs to prevent XSS attacks.
  • Hardening configurations: Minor changes in deployment scripts to reduce attack surfaces.

Although the security enhancement generates fewer than 10 commits, its value in preventing potential breaches and compliance penalties is enormous.

Key Takeaways

  • Context Matters: Evaluating productivity requires understanding the context and complexity of the task, not just the output volume.
  • Quality Over Quantity: High-impact changes often involve fewer commits, while low-value tasks may inflate commit counts.
  • Recognizing Diverse Contributions: Engineers working on performance, security, or architecture frequently produce less visible yet highly impactful work.

This misalignment underscores the need for organizations to adopt holistic evaluation metrics that consider both quantitative output and qualitative impact. By focusing on the latter, teams can better recognize and reward meaningful contributions.

The Danger of Flawed Productivity Metrics

Simplistic metrics can have cascading negative effects:

  1. Burnout: Engineers may feel pressured to prioritize activity over quality.
  2. Stifled Innovation: Overemphasis on visible output discourages experimentation and risk-taking.
  3. Loss of Talent: Talented engineers in specialized roles may leave if their contributions are undervalued.

As emphasized in Is the Myth of a 10x Developer Real?, effective engineering is about multiplying impact, not maximizing visible output​​.

A Holistic Approach to Productivity

To address these issues, organizations must adopt nuanced evaluation frameworks:

  1. Impact-Driven Metrics: Evaluate contributions based on outcomes, such as improved system reliability or customer satisfaction.
  2. Recognize Invisible Work: Acknowledge tasks like mentorship, technical debt reduction, and long-term strategic planning.
  3. Foster a Culture of Trust: Empower teams to experiment and innovate without fear of being misjudged by flawed metrics.

Conclusion

The “ghost engineer” narrative oversimplifies the multifaceted nature of software engineering. By relying on metrics like commit counts, it risks undervaluing critical contributions and fostering unhealthy workplace dynamics. As I’ve argued across multiple articles, effective engineering teams succeed by delivering value, not just output. The industry must move beyond flawed productivity metrics and adopt more comprehensive frameworks to recognize the true contributions of every engineer.


References and Further Reading

  1. Denisov-Blanch, Y. (2024). Twitter Thread on Ghost Engineers. Retrieved from link.
  2. Denisov-Blanch, Y. (2024). Stanford Research on Software Engineering Productivity. Stanford University. Retrieved from link.
  3. Polyakov, A. (2024). Ghost Engineers—Utter Non-Sense! Medium. Retrieved from link.
  4. No, McKinsey, You Got It All Wrong About Developer Productivity. Nocturnalknight.co. Retrieved from link.
  5. Is the Myth of a 10x Developer Real? Nocturnalknight.co. Retrieved from link.
  6. Bridgwater, A. (2024). Code Busters: Are Ghost Engineers Haunting DevOps Productivity? DevOps.com. Retrieved from link.
  7. Business Value Delivery by Engineering Teams in Startups (Part 1). Nocturnalknight.co. Retrieved from link.
  8. Business Value Delivery by Engineering Teams in Startups (Part 2). Nocturnalknight.co. Retrieved from link.
  9. Long, K. (2024). Are Ghost Engineers Undermining Tech Productivity? Business Insider. Retrieved from link.
  10. Passionate Geekz. (2024). Can a Company Increase Its Market Value by Laying Off Employees? Retrieved from link.
Inside the Palantir Mafia: Secrets to Succeeding in the Tech Industry

Inside the Palantir Mafia: Secrets to Succeeding in the Tech Industry

In the world of technology, engineers are not just cogs in a machine; they are the builders, the dreamers, and the ones who solve the problems they see in the world. And sometimes, those solutions turn into billion-dollar businesses. This is the story of the “Palantir Mafia,” a group of former Palantir employees who have left the data analytics giant to found their own startups, just like the famed “PayPal Mafia” that produced companies like SpaceX, YouTube, LinkedIn, Palantir Technologies, Affirm, Slide, Kiva, and Yelp.

1. Introducing the Amazing People from Palantir

The “Palantir Mafia,” akin to the renowned “PayPal Mafia,” comprises former Palantir engineers and executives who left to tackle meaningful problems with technological innovation, creating substantial impact and wealth. Unlike ex-consultants from firms like McKinsey, BCG, or Bain, these tech leaders leverage their deep technical expertise to solve complex issues directly, resulting in profound advancements and successful ventures.

Key Figures and Their Ventures

  1. Alex Karp – Palantir Technologies
    • Former Role: Co-Founder and CEO
    • Company: Palantir Technologies
    • Focus: Data analytics
    • Market Penetration: Widely used across government and commercial sectors
    • Revenue: $1.5 billion annually
    • Capital Raised: $3 billion​ (Wikipedia)​​ (Business Insider)​
  2. Max Levchin – Affirm
    • Former Role: Co-Founder (PayPal, associated with Palantir founders)
    • Company: Affirm
    • Focus: Buy now, pay later financial services
    • Market Penetration: Significant presence in the consumer finance market
    • Revenue: $870 million in fiscal 2021
    • Capital Raised: $1.5 billion
  3. Joe Lonsdale – 8VC
    • Former Role: Co-Founder
    • Company: 8VC
    • Focus: Venture capital firm
    • Market Penetration: Diverse portfolio, influential in tech sectors
    • Assets Under Management: $3.6 billion
  4. Palmer Luckey – Anduril Industries ( could be the blue blooded Musk of 2020-2030s)
    • Former Role: Founder of Oculus VR, associated with Palantir through ventures
    • Company: Anduril Industries
    • Focus: Defense technology
    • Innovation: Developed the Lattice AI platform for autonomous border surveillance and defense applications
    • Market Penetration: Contracts with U.S. Department of Defense and border security agencies
    • Revenue: $200 million annually
    • Capital Raised: $700 million
  5. Garrett Smallwood – Wag!
    • Former Role: Executive roles at other startups before Wag!
    • Company: Wag!
    • Focus: On-demand pet care services
    • Market Penetration: Operates in over 100 cities
    • Revenue: $100 million annually
    • Capital Raised: $361.5 million
  6. Nima Ghamsari – Blend
    • Former Role: Product Manager at Palantir
    • Company: Blend
    • Focus: Mortgage and lending software
    • Market Penetration: Partners with major financial institutions
    • Revenue: Estimated $100 million+ annually
    • Capital Raised: $665 million
  7. Stephen Cohen – Quantifind
    • Former Role: Co-Founder of Palantir
    • Company: Quantifind
    • Focus: Risk and fraud detection using data science
    • Market Penetration: Used by financial services and government sectors
    • Capital Raised: $8.7 million
  8. Vibhu Norby – B8ta
    • Former Role: Engineer at Palantir
    • Company: B8ta
    • Focus: Retail-as-a-service platform
    • Market Penetration: Transforming in-store retail experiences
    • Capital Raised: $113 million
  9. Joe Lonsdale – Addepar
    • Former Role: Co-Founder of Palantir
    • Company: Addepar
    • Focus: Wealth management technology
    • Market Penetration: Manages over $2 trillion in assets
    • Capital Raised: $325 million
  10. Raman Narayanan – SigOpt
    • Former Role: Data Scientist at Palantir
    • Company: SigOpt (acquired by Intel)
    • Focus: Machine learning optimization
    • Market Penetration: Utilized by top tech companies
    • Capital Raised: $8.7 million (before acquisition)

2. Engineers Make Better Founders in the Tech Industry

Unlike ex-consultants from big 3 who may excel in strategy and communication but often lack the technical depth to truly understand the intricacies of building a tech product, these ex-Palantir engineers come armed with both the vision and the technical chops to bring their ideas to life. They’ve spent years wrestling with complex data problems at Palantir, and they’re now taking those hard-won lessons to solve new challenges across a wide range of industries.

Engineers bring a problem-solving mindset that focuses on creating practical, scalable solutions. This technical acumen has allowed former Palantir employees to launch transformative companies that push the boundaries of what’s possible in various industries.

3. Market Penetration and Success of Palantir Alumni

The success of these Palantir alumni is evident through their market penetration and revenue. For instance, Palantir Technologies itself is a major player in the data analytics field, with a revenue of $1.5 billion annually. Affirm, led by Max Levchin, has made significant inroads in the consumer finance market, generating $870 million in revenue in fiscal 2021. Anduril Industries, founded by Palmer Luckey, has secured substantial contracts with the U.S. Department of Defense, contributing to its $200 million annual revenue.

Other successful ventures include Blend, with its deep partnerships with major financial institutions, and Addepar, managing over $2 trillion in assets. These companies not only showcase the technical expertise of their founders but also highlight their ability to penetrate markets and achieve substantial financial success.

4. Engineers vs. Consultants: A Compelling Argument

The technical depth and problem-solving mindset of engineers make them particularly suited for founding and leading tech startups. Their ability to directly tackle complex problems contrasts with the approach of ex-consultants from firms like McKinsey, BCG, or Bain, who often focus more on financial and operational efficiencies.

While consultants excel in operations-heavy startups, where strategic planning, financial management, and operational efficiency are paramount, engineers thrive in tech startups that require innovative solutions and deep technical expertise. The success stories of the Palantir alumni underscore this distinction, demonstrating how their engineering backgrounds have enabled them to drive significant technological advancements and build successful companies.

Conclusion

The Palantir Mafia’s engineers have leveraged their technical expertise to create innovative solutions and successful ventures, driving significant impact across various industries. Their ability to tackle complex problems directly contrasts with the approach of ex-consultants from firms like McKinsey, BCG, or Bain, who often focus more on financial and operational efficiencies. This technical depth has enabled these former Palantir employees to become influential leaders, pushing the boundaries of technology and innovation.

References & Further Reading:

  1. https://www.getpin.xyz/post/the-palantir-mafia
  2. https://www.8vc.com/resources/silicon-valleys-newest-mafia-the-palantir-pack
  3. https://www.youtube.com/watch?v=a_nO6RW7ddQ
  4. https://www.businessinsider.in/the-life-and-career-of-alex-karp-the-billionaire-ceo-whos-taking-palantir-public-in-what-could-be-one-of-the-biggest-tech-ipos-of-the-year/articleshow/78198300.cms
  5. https://en.wikipedia.org/wiki/Alex_Karp
Is the myth of a “10X Developer” Real?

Is the myth of a “10X Developer” Real?

If you’re a software engineer, manager or leader, I am sure you have heard the term ‘10x developer’ used in discussions. It refers to developers who are purportedly 10 times more productive, or capable, than their peers, while it is a hotly contested category. Some refer to it very liberally, others deny that it even exists. In the last 40+ years, the ‘10X developer` has become a ‘Loch Ness` of the tech world, fueled by the hype associated with Silicon Valley.

I’m not about to delude myself into thinking that writing a blog on it to pass my verdict will put these theories to rest, but the question has gained enough traction that it deserves a little articulation. 

Do 10x developers really exist, and if so, how would we distinguish them?

Framing the Issue

All of us can acknowledge that the range of skills in most human activities can be extensive. A marathon runner can cover roughly 10 times the distance that an untrained person could, while a professional chef can cook a 5-course meal in 1/5th the time it takes an average person to do a 2-course meal.

Coding, which is a hugely complex field unencumbered by physical limitations, should naturally show differences in the skill that vary by orders of magnitude. Thus, if by 10x developer we simply mean a person whose skill level is in a different league compared to someone else, then clearly they exist. 

How could anyone argue otherwise?

Here’s the rub though, in the data-driven and lexically precise world of modern tech, that’s not what 10x developer means. Instead, a 10x developer is supposed to be someone who genuinely outperforms others by 10 times or more on some quantifiable scale. That ‘quantifiable scale’ is where the problems start.

Where did the term actually come from? Enter Coding War Games.

Coding War Games

Tom DeMarco and Tim Lister have conducted the “Coding War Games” since 1977. This is a public productivity survey in which teams of software implementors from different organizations compete to complete a series of benchmarks in minimal time with minimal defects. They’ve had over 600 developers participate. Its results are publicly available and is very informative, to say the least. Jeff Lester published a wonderful piece on the origins of the 10X developer here

The top findings from these are,

1, Get your working environment Right

The overriding observation from this study is that quiet, private, dedicated working space with fewer interruptions led to groups that performed significantly better.

2, Remove the Net Negative Producing Programmer

Some developers are “net negative producing programmers” (NNPP), that is they produce so many defects that removing them from the team increases productivity. This is the opposite of a 10X developer, these people are the ones that make the team productivity go from bad to worse.

The Problem with Measuring ‘Skill’

Even where skill can vary wildly, differences will not necessarily be quantifiable. A talented artist may know how to create a painting that teleports you to a whole other world compared to an average artiste who can transport you to the scene.

But the question is, can you attach numbers to that painting’s beauty?

The work of a developer isn’t nearly as abstract, but not all of it can be reduced to metrics either, and definitely not the programming skill itself.

A less glamorous approach may be to judge a 10x dev not in terms of skill but in terms of productivity. Someone who can write 500 lines of code when it takes others to write 50 would then fall in that category.

If you know anything about programming, however, you’ve probably already spotted the problem with this line of thinking. Longer code isn’t necessarily more efficient, and for most people there tends to be a positive correlation between how quickly one works and how many bugs one creates.

This is not to say that programmers can’t produce bug-free code much faster than their peers. Where this statement proves fallacious though, is in trying to peg that difference to a single metric. There are myriad factors at play that will affect a developer’s productivity outside of their skill, including their team and the environment they find themselves. In fact, depending on the situation, the 10x tag may be inaccurate because a developer could be programming well over 10 times as much as another and still produce 1/10th of the ‘Outcomes’!

What should be our conclusion? There can be no doubt that the field of programming has its own Mozarts and Vincent Van Goghs, and few would object if these people were described as being ‘orders of magnitude’ better than the rest. But it is important to recognize that this is only a figure of speech, and not something meant to be used according to its precise quantitative meaning.

I can’t presume to speak for the tech industry as a whole, but I for one have noticed a worrying tendency to read the expression ‘10x developer’ literally.

Ultimately this does more harm than good, as it spreads the myth that there is some universal metric whereby every programmer’s value can always be quantified. 

Important qualities like creativity, client focus and teamwork are entirely omitted in this way of thinking, which is why my final suggestion is to stop worrying about lofty 10x developers and whether you are, aren’t, or may or not become one. 

Simply focus on being the best developer you can be. That will always be enough.

References & Further Reading

Origin of a 10X developer

https://medium.com/ingeniouslysimple/the-origins-of-the-10x-developer-2e0177ecef60 

https://gwern.net/doc/cs/algorithm/2001-demarco-peopleware-whymeasureperformance.pdf

https://news.ycombinator.com/item?id=22349531

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