Translation: Most tech companies are addicted to cheap labor, either through exploiting new graduates or handing out potentially worthless stock options. They won't choose to reduce their profits regardless of what happens.

Very few startups "need" to hire less experienced people, mostly the ones that do just haven't got a viable business model. The ones that can't afford to hire the people they need at a reasonable salary for the work they expect shouldn't exist. They're just machines for turning venture capital into personal wealth for the founders as they exploit their employees then sell out.