In straight dollars, perhaps yes. But the new servers don't show up and spend 3 to 6 months before accomplishing anything meaningful, don't require sick time which can cause the optimizations to slip, and don't take 3 months to find the right fit for hire.

Part of the cost consideration is deterministic results. I will pay a premium for near-guaranteed good but probably sub-optimal results and will actively avoid betting on people I haven't met and don't know exist.

In my hiring, I hire now to solve problems we expect to hit after 4 quarters. It almost never makes sense to hire anyone into a full-time role for any project in a shorter timeframe. If you were wrong about the specific problems you expect to have in a year, you have a person who is trained in your development environment, tooling, and projects, and you already budgeted to use them in-depth in a year. There's no emergency. There is time to pivot. But if you're wrong about the need to hire someone now full time, you front load all of the risk and if it doesn't work out, you are stuck with an employee you do not need (and stuck is the right word. Have you ever terminated someone? It is harder than you think it is, and I don't mean just for emotional reasons).

Buy hardware over people. Treat the people you have as if the business depends on them. Let them know that it does. Everyone is happier this way.

> > a few $k/mo

> Isn’t that the cost of one engineer already?

Only for very cheap engineers and very large values of “a few”. $120k/year is pretty low total compensation for an engineer (and the cost of an engineer exceeds their total comp because there is also gear, and the share of management, HR, and other support they consume) and amounts to $10k/month.

In the Bay Area, no, an engineer costs an order of magnitude more. (For a round number, think $15-20k/mo including office space, benefits, etc. for a senior engineer; that's perhaps a bit high for the period I'm discussing but it also isn't attempting to price the cost of equity grants. At that time Google was probably spending something like $35-40k/mo (maybe higher, I don't know their office/perk costs) on equivalent talent at SWE5 including the liquid RSU grants.) But of course run the cost/benefit calc for your own cost of labor.

More importantly, it's critical to think in terms of opportunity cost. Like I said, we couldn't hire engineers fast enough at that time, so if I put someone on this work it would be taking them off some other important project. Plausibly for a fast-growing startup that means eschewing work that's worth $1-2m/eng-yr or more (just looking at concrete increases in company valuation, not present value of future gains). So we're talking on the order of $100k/eng-mo opportunity cost.