Redpoint

We are hiring talented Principal and Staff Software Engineers, please reach out to Ashish Bhatia, Justin Rhinesmith Graham Paye and Deepti Yenireddy if you are interested in transforming the supply chain industry with AI. https://lnkd.in/g2PhGYkG

We're excited to be partnering with Everest in their bold mission to re-invent one of the oldest software categories!

Explore more of the latest 2024 salary and compensation trends in the Redpoint Radar Report (available at redpoint.com/radar) Thanks Matt Schulman (CEO, Pave) and for diving into the data! #salary #workingintech #workinginai #artificialintelligence #siliconvalley #startups #aijobs #venturecapital #redpoint

Founder and General Partner at Floodgate Mike Maples, Jr is an 8x Midas List investor. In our conversation, we dive into his latest book, "Pattern Breakers: Why Some Startups Change The Future." Mike shares his frameworks on how top startups beat incumbents by redefining categories, and he reflects on his worst and best decisions. We also discuss what the future of venture capital may look like over the next decade - here are a few favorite takeaways on what makes outstanding startups from one of the industry's most influential names. → The Best Startups Focus on TFM > TAM Mike points out the huge difference between the Total Addressable Market (TAM) and the Total Future Market (TFM). Successful products often create new categories and become the category king, starting with a low TAM but leveraging powerful inflections to achieve a high future TAM. → "Force a choice, not a comparison" If everybody's an apple, don't be a 10 times better apple, be the world's first banana. Not everyone will be interested, but those who do will be thrilled to find you. Successful startups often embody this unique energy from the start. For example, people didn't buy the original Tesla Roadster for its utility value compared to another car; they bought it for aesthetic reasons and may have believed in Elon Musk's compelling vision of a sustainable future. Successful startups often embody this principle, attracting a passionate niche audience by offering something fundamentally different rather than just an improved version of an existing product. → The Best Startups Use Backcasting There are two ways to look at the future: forecasting and backcasting. Forecasting projects the present forward, suggesting the future will be a continuation of the present. This mindset gives incumbents an advantage because they've defined the rules of the present. Backcasting, however, starts with the assumption of a radically different future and you work backwards from that vision to create it. Great startups use backcasting, as imagining a radically new future helps bypass current market leaders. Full episode: https://lnkd.in/dw66jYib

ICYMI: The 2024 Redpoint Radar Talent Report just launched, offering the latest data on startup compensation and hiring trends. Here, Matt Schulman (CEO, Pave) and Atli Thorkelsson discussed 7 key shifts, including the major changes in: - Equity structures - Salary transparency - Employee engagement - What everyone leading or working in a startup should know Dive into the full report here: redpoint.com/radar https://lnkd.in/dRSB5U2R

Hot off the press this week was the news that GitHub has now passed $2B in annual revenue run rate, so it was a very special time to have GitHub CEO Thomas Dohmke on the pod. Thomas has a pulse on what engineers around the world are looking for from the world’s leading developer platform, and incredible vision and empathy in making Github deliver on it. Some fun takeaways from this episode (co-hosted by partner Erica Brescia): 🥇Tech ≠ “winner takes all” Not only does Thomas not believe AI is a winner take all market, he says nothing in tech is truly a zero sum game. As part of Microsoft since 2018, Thomas has witnessed the tech giant reinvent itself for the age of cloud and now the age of AI. Github itself went through a similar reinvention when it released Copilot. Thomas doesn’t believe there’s such a thing as “permanent” product market fit — companies always have to innovate to stay relevant. Just like in the Formula 1 racing series, tech isn’t just about being the fastest, it’s about sizing up your competition and finding a way to beat them. 💾 AI can fix COBOL too Thomas has seen that one of AI’s most powerful uses is to help companies handle legacy code running on mainframes deep in their tech stacks. The programmers who wrote this stuff are (hopefully!) happily retired, and the developers stuck maintaining these systems probably have better things to do. Not only can AI handle it, it can also help companies start cleaning up and replacing legacy systems with modern applications — a secret superpower that AI tools like Copilot have, right now. 🐧📈 Open Source boom AI-powered tools like Copilot are increasing the use of open-source libraries, Thomas says, and also helping consolidate them, making software development more efficient and collaborative. The best performing and most popular open source libraries are being baked into Copilot, which will keep their communities and the open-source ecosystem vibrant. Increased use of open source will also make these libraries more secure as AI agents autonomously scan and patch vulnerabilities in the background. 🙅♂️ Life as CEO: “A thousand no’s for every yes” Thomas says the coolest part of being Github CEO is the need to say “no” to almost everything, and maintain Github’s laser focus on its mission. “The true power of a startup is focus, focus, focus. But you have to keep that focus even as you find success." Thomas also talked about remembering to play the long game and do what’s best for the company, without getting distracted by short term desires or battles. Being a good CEO is like enduring a constant Marshmallow Test! We really enjoyed our time with Thomas and these insights only scratch the surface of our chat. This episode is a truly must listen, so please check it out below: YouTube: https://lnkd.in/gh27wQg3 Spotify: https://spoti.fi/3yl758I Apple: https://apple.co/3LMBtMm

Will attrition rise by the end of 2024? Thanks Matt Schulman (CEO, Pave) and Atli Thorkelsson for spending months analyzing the data and sharing it with us 🙌 Full report at redpoint.com/radar #redpointradar #jobpostings #venturecapital #startups #workingintech #jobreport #redpoint #siliconvalley #techscene #founders

The labor market from 2019 - 2024 has been complete chaos. Here's what it has looked like from the POV of a compensation leader: 📉 Market Chaos. → 2019 SaaS Gold Rush → 2020 Covid Black Swan Days → 2020/2021 ZIRP Froth → Inflation Spike → High Interest Rates  → 2022/2023 “SaaScession” → First Innings of the AI Boom 🏢 Covid-Induced Office Culture Chaos. → 5 Days/Week In Office → Fully Remote Overnight → Rapid Globalization of the Workforce → Return to Office Wave ⚖️ Compensation Legislative Chaos. I'd call out the Pay Transparency Wave in the USA and DEI Reporting Requirements in Europe. Some good news–chaos and scarcity inspire innovation, and the pressures of rapid innovation create diamonds. We are in the early innings of a “CompTech” boom. And traditional compensation philosophy is being challenged and redesigned at faster rates than we’ve ever seen. __________________ Pave's data team (shoutout Frances Mitchell) recently collaborated with Redpoint (shoutout Atli Thorkelsson) to produce the 2024 State of Talent Report: https://lnkd.in/gadi-FjE 5 takeaways: 1️⃣ Merit cycle freezes are becoming normalized. The number of companies simply skipping company-wide merit cycles altogether roughly doubled from 2022 to 2023. 2️⃣ The 4 year vest is dying. There has been a surge in popularity of shorter vesting schedules as companies look to 1) curtail high dilution rates while meanwhile 2) saving optionality to more disproportionately invest in the highest performing employees over time. 3️⃣ AI/ML engineer compensation is a tale of two cities. Some AI/ML engineers are bringing home 7 figure comp packages from the minority of outliers (e.g. OpenAI). Meanwhile, the rest of the market for AI/ML is hot but not by an order of magnitude; we’re currently seeing a ~7-8% premium for the AI/ML job family over the Software Engineering Generalist job family. This said, I do expect the demand and compensation premium for AI/ML talent to increase over time. 4️⃣ AI Disrupting Other Job Families. The roles, responsibilities, and compensation outcomes for job families including Sales, Customer Support, and parts of Marketing are evolving before our eyes. Meanwhile, for software engineering, AI currently seems to be more of a developer productivity enhancer rather than a talent disrupter. As David Singleton, CTO of Stripe, puts it, AI will allow engineers to “bend computer systems to their will in order to solve business problems”. 5️⃣ Equity Participation is Decreasing. Companies are no longer just giving equity haphazardly to 100% of candidates and employees. Instead, they are focusing on giving equity to the most leveraged subsets of their talent base–top performers, the job families that value equity the most, and the locations most congruent culturally and legislatively with equity compensation as a retention tool. For a deeper dive into the insights, check out the full report (linked above). #pave #redpoint

We’re thrilled to unveil our 2024 State of Talent report! Thanks to Matt Schulman, CEO/founder of Pave, for partnering with us. Thanks also to the whole Pave team that helped (especially Frances Mitchell!) The last few years in talent have been, as I was quoted in Fortune this morning, "super weird" - we put together this report to offer a broad view of what's happening, what we expect to happen the second half of this year, and what founders & People teams can do to prepare. 📍 Managing Spend: In ‘23-24, more companies froze merit increases to manage budgets. Despite similar median merit cycle increases, average increases are lower YoY. 📍 Focus on Retention: Attention has shifted from hiring to retention of top performers, with expected attrition increases in H2. The rise in applications per role + the increase in job postings suggest a competitive rest of the year. 📍 Job Postings as Leading Indicators: Job postings can signal future salary changes. Data Science/ML saw a 56.4% increase in ‘23, with salaries rising. Sales, Marketing, and Product also saw significant growth in Q1. SF continued to see more competition than other US areas. 📍 Sales Talent: Top-quality sales talent is more competitive, especially for top percentile talent. Last year, 23% of companies grew their sales teams; 86% plan to expand this year, with 2/3 of those aiming to double their headcount (thank you for the data Bravado!) 📍 AI's Impact on Job Families: Ai disrupts roles like Customer Support, which has the highest apps per job posting and significant salary changes YoY. Though engineers aren’t being replaced by AI yet, the potential automation of roles like sales development raises questions about career ladders. 📍 Managing Equity Burn: To manage burn, companies are limiting equity to certain levels, reducing targets, and exploring new geographies. Equity burn is a major concern, especially for late stage privates and public companies. Companies are concentrating their equity comp towards great leadership and strong, autonomous ICs. 📍 Geography-Based Equity Adjustments: Surprisingly, geography-based adjustments aren't more common. Outside of the top few US tech metros, equity comp can be as low as 50-60% of Tier 1, and even lower internationally. 📍 New Equity Structures: Data shows that late stage private companies see a 60-70% increase in burn with refresh programs. Companies are experimenting with 1- and 3-year grants, backweighted vesting schedules, and other new structures, led by changes in public tech companies. For a deeper dive into these insights and more, check out the full 2024 State of Talent Report here: https://lnkd.in/g_yTTxFz

We’re thrilled to unveil our 2024 State of Talent report! Thanks to Matt Schulman, CEO/founder of Pave, for partnering with us. Thanks also to the whole Pave team that helped (especially Frances Mitchell!) The last few years in talent have been, as I was quoted in Fortune this morning, "super weird" - we put together this report to offer a broad view of what's happening, what we expect to happen the second half of this year, and what founders & People teams can do to prepare. 📍 Managing Spend: In ‘23-24, more companies froze merit increases to manage budgets. Despite similar median merit cycle increases, average increases are lower YoY. 📍 Focus on Retention: Attention has shifted from hiring to retention of top performers, with expected attrition increases in H2. The rise in applications per role + the increase in job postings suggest a competitive rest of the year. 📍 Job Postings as Leading Indicators: Job postings can signal future salary changes. Data Science/ML saw a 56.4% increase in ‘23, with salaries rising. Sales, Marketing, and Product also saw significant growth in Q1. SF continued to see more competition than other US areas. 📍 Sales Talent: Top-quality sales talent is more competitive, especially for top percentile talent. Last year, 23% of companies grew their sales teams; 86% plan to expand this year, with 2/3 of those aiming to double their headcount (thank you for the data Bravado!) 📍 AI's Impact on Job Families: Ai disrupts roles like Customer Support, which has the highest apps per job posting and significant salary changes YoY. Though engineers aren’t being replaced by AI yet, the potential automation of roles like sales development raises questions about career ladders. 📍 Managing Equity Burn: To manage burn, companies are limiting equity to certain levels, reducing targets, and exploring new geographies. Equity burn is a major concern, especially for late stage privates and public companies. Companies are concentrating their equity comp towards great leadership and strong, autonomous ICs. 📍 Geography-Based Equity Adjustments: Surprisingly, geography-based adjustments aren't more common. Outside of the top few US tech metros, equity comp can be as low as 50-60% of Tier 1, and even lower internationally. 📍 New Equity Structures: Data shows that late stage private companies see a 60-70% increase in burn with refresh programs. Companies are experimenting with 1- and 3-year grants, backweighted vesting schedules, and other new structures, led by changes in public tech companies. For a deeper dive into these insights and more, check out the full 2024 State of Talent Report here: https://lnkd.in/g_yTTxFz