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Startup vs. Big Tech: Navigating Career Paths for Engineers in Europe

All posts | Published Oct 27, 2024 Startup vs. Big Tech: Navigating Career Paths for Engineers in Europe

Startup vs. Big Tech: Navigating Career Paths for Engineers in Europe

Deciding between Big Tech and startups? Here's what you need to know right now:

Factor Big Tech Startups
Pay €120-180K base + stock 25-30% lower base + equity
Job Security Stable, structured High risk (90% fail)
Learning Formal training, specialization Hands-on, learn everything
Career Growth Clear promotion path (2-3 years) Fast jumps possible (6-12 months)
Work Style Single role, defined scope Multiple hats, high impact

Big Tech is your best bet if you want:

  • Higher guaranteed salary (€164K avg in Germany)
  • Structured training programs
  • Job security
  • Clear career progression

Choose startups if you prefer:

  • Fast-paced learning
  • Direct company impact
  • Equity potential
  • Quick promotions

The money breakdown:

  • Entry-level at Meta: €128,740
  • Entry-level at startups: 25-30% less
  • Startup equity: 0.1-0.5% (could be worth millions if successful)

Pro tip: Most successful engineers start in Big Tech for 2-3 years, then jump to startups. This gives you both the brand name and foundational skills.

Want numbers? Here's what entry-level engineers make at top companies in Germany:

Company Starting Salary
Meta €128,740
Google €137,170
Amazon €125,690
Apple €117,720
Netflix €194,520

European Tech Market Overview

Let's break down what's happening in Europe's tech job scene for 2024, comparing Big Tech and startups.

Pay and Benefits

Big Tech companies pay WAY more than others. Check out these numbers from Germany:

Company Total Pay Package
Meta €266,700
Apple €144,690
Amazon €95,620
Google €152,370
Netflix €160,000

Startups? They pay less upfront - about 25-30% lower base salary. But here's the thing: they throw in equity packages. Plus, most now offer private health insurance to compete for talent.

Job Security and Growth

The market's changed. It's not about crazy growth anymore:

Company Type Hiring Status Pay Increases
Big Tech Steady hiring 4.8% average raise
Startups 30-50% cut in hiring Variable, equity-focused

Want to know where the jobs are? Engineering leads at 23% of openings, with finance trailing at 8%.

Jobs by Region

Here's what software developers make across Europe:

Country Average Yearly Pay
Switzerland €89,998
Denmark €78,516
Iceland €62,536
Estonia €56,451
France €43,849
Poland €22,740

And here's what the main tech hubs offer:

City Companies Average Pay
Berlin Google, Stripe, Hubspot €86,380
Paris Meta AI, Google AI €61,000
Dublin AWS, Microsoft, Meta €57,000
London Various Tech Companies £58,000

Here's something interesting: 77% of startup employees work hybrid - usually 3 days at home each week. Big Tech? They're more into office time.

Working at Big Tech Companies

Here's what it's ACTUALLY looks like to work at companies like Microsoft, Google, and other tech giants:

Daily Work Life

Microsoft's massive campus shows you what Big Tech is all about: 50,000 people spread across almost 100 buildings. That's not your typical office setup.

Here's how Microsoft structures their engineering ladder:

Level Individual Contributor Management Track
59-62 Software Engineer -
63-64 Senior Software Engineer Senior Engineering Manager
65-67 Principal Software Engineer Principal Engineering Manager
68-69 Partner Software Engineer Partner Engineering Manager
70+ Distinguished Engineer VP and above

Want to work from home? No problem. Most Big Tech companies, including Microsoft, let engineers work 100% remote or mix it up with office time.

"You can build your life around work here. It's super flexible - you can switch between work and personal stuff throughout the day." - Utsav, Software Engineer at Microsoft

Main Advantages

Here's what makes Big Tech jobs different:

Perk What You Get
Learning Top-tier training, classes, and mentors
Job Safety Strong companies = stable jobs
Resume Boost FAANG experience opens doors
Perks Free food, gyms, events
Money Big salary + stocks + benefits

You'll work with some of the best engineers out there. And when you ship code? It hits MILLIONS of users. That's pretty cool.

Common Challenges

But it's not all sunshine and free snacks:

Challenge What It Means
Project Hunt Most big problems are solved
Slow Moves Lots of red tape
Small Scope Often tiny pieces of big projects
Moving Up Set paths = slower climbing
Big Teams Less individual impact

Want to launch something at Google? Get ready for LOTS of approvals. It's nothing like startups where you can ship code fast.

"I got to speak at conferences as a Microsoft Software Engineer. Usually that's for Program Managers, but I grabbed the chance when it came up." - Microsoft Software Engineer

Working at Startups

Startup life is different from Big Tech. You'll work longer hours (50-60 per week) and juggle multiple tasks. But there's a good reason many engineers love it.

Work Aspect What to Expect
Schedule 50-60 hours/week
Team Size Small teams (5-15 people)
Role Scope Multiple responsibilities
Decision Making Quick, minimal approvals
Project Ownership End-to-end involvement
Work Location Often flexible/remote

"At startups, you're part of a small dev team with no infrastructure, security, data science, or observability teams - unlike Big Tech. It's a crash course in everything." - Willem Spruijt, Software Engineer and Co-founder of Rise Calendar

The Good Stuff

Want to know what makes startup work worth it? Here's what you get:

Perk What You Get
Equity 0.1% - 0.5% ownership
Learning Hands-on with multiple tech stacks
Impact Direct product/company influence
Growth Fast promotions as company grows
Freedom Pick your projects
Speed Less red tape, faster execution

Here's a real example: Coinbase gave EVERY employee (all 1,700) 100 shares before going public. Each package was worth $25,000 on day one.

The Hard Parts

Let's be honest about the downsides:

Challenge What It Means
Job Security Most startups fail
Work Hours Long days, high pressure
Base Pay Less than Big Tech offers
Resources Basic tools, limited infrastructure
Mentorship Few senior engineers
Stress Constant task-switching

"At most startups, you'll wear many hats. Your work changes daily." - Ryan Peterman, Author

Want to see startup speed in action? At Rise Calendar, an engineer built and shipped a Calendly-like feature in ONE MONTH during Christmas. That's the startup life - fast, free, and intense.

Here's something interesting: Engineers at startups say they're 30% happier than their FAANG counterparts. The trade? You get less structure but more control and bigger potential rewards.

Pay Breakdown

Here's what you'll get paid at Big Tech vs startups in Europe:

Base Pay

Level Big Tech Startups
Entry €70k-90k €40k-70k
Mid €90k-120k €60k-90k
Senior €120k-180k €90k-150k

Want the BIG numbers? At Facebook, entry-level engineers make €194,086. Senior engineers? They can pull in up to €765,314.

Stock and Options

Here's how equity works at each:

Company Type Equity Type Value Vesting
Big Tech RSUs Known (public stock) 4 years
Startups Stock Options 0.1% - 0.5% 3-4 years

Sometimes startup equity pays off BIG TIME. Take Zoom's IPO at $9.2 billion - employees with 0.1% equity got €920,000. Those with 0.5%? €4.6 million in their pockets.

"At startups, you'll wear many hats. Your work changes daily." - Ryan Peterman, Author

Extra Benefits

Benefit Type Big Tech Startups
Health Insurance Full coverage Basic plan
Remote Work Limited flexibility Often fully remote
Learning Budget Large ($5k+/year) Small or none
Commuting Covered Sometimes covered
Food Free meals Limited perks

European startup pay bumps dropped from 8% to 4.8% last year. But check this out: 76% of people say they'd take less base pay for equity. They're betting on hitting it big later.

Bottom line? Big Tech = fat paychecks now. Startups = smaller checks but maybe a HUGE payday later. Your pick comes down to what you want: steady cash or a shot at the jackpot.

Career Growth

Here's how career paths differ between Big Tech and startups:

Learning & Growth

At Big Tech companies like Google, you'll get structured learning. You pick a focus area and master it. Plus, you get a fat training budget ($5,000+ per year) and senior mentors to guide you.

Startups? It's learn-or-sink. You'll touch everything from backend code to security - just ask the Rise Calendar team. No fancy training programs, but you'll learn FAST.

"In startups, you're the infrastructure team, security team, and data science team all rolled into one. That's what makes them amazing learning spots." - Willem Spruijt, Software Engineer

What You Get Big Tech Startups
Skills Focus Deep, specialized Wide, generalist
Learning Style Structured programs Hands-on, DIY
Skill Building Team rotations Multiple roles by default
Learning Pace Step-by-step Rapid, intense

Building Your Network

Big Tech puts a big network at your fingertips. You'll meet tons of people, join company events, and build industry connections. A Staff title at Meta? That's your ticket to Staff interviews anywhere.

Startups keep it small but mighty. You work directly with founders and investors - connections you can't easily make in Big Tech.

Connections Big Tech Startups
Inside Company Huge network Small, close team
Outside Reach Industry-wide Startup community
Leadership Access Through layers Direct to founders

Moving Up

I spent 8 years at Google building Chrome Data Saver (700M+ users). The path up? Clear but slow. At XNOR.ai, engineers jumped levels way faster.

"Landing that big company name early? It's like a career cheat code." - Ryan Peterman, Author

Career Level Big Tech Startups
Starting Out Clear steps up Fuzzy titles
Mid-Career 2-3 years/level Quick jumps possible
Senior Roles 5+ year climb 2-3 year sprint

Bottom line: Big Tech means steady climbing with safety nets. Startups offer faster rises but bigger risks. Pick what matches your style.

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Making Your Choice

Here's what you need to know about Big Tech and startups - broken down by what matters most.

Your Career Goals

Let's look at how each path matches different goals:

Goal Big Tech Startup
Learning Deep focus on specific areas Broad exposure across many areas
Impact You'll shape products/features You'll shape the whole company
Pay Higher base salary Lower base + possible equity boom
Work Clear role boundaries You'll wear many hats
Security More stable More uncertain

Money & Risk

The numbers tell an interesting story:

What You Get Big Tech Startup
Base Salary $123,262+ 30-40% less
Stock RSUs (guaranteed value) Options (most fail)
Job Security 2-3 years typical 3-12 months typical
Promotions Every 2-3 years Every 6-12 months

"Here's the reality: You probably won't become a billionaire at a startup. But you WILL learn tons and have fun doing it." - Tech Industry Professional

When to Choose What

Your career stage matters:

Stage Best Pick Why It Works
Just Starting Big Tech Learn the basics right
2-5 Years In Either Works You can handle both
5+ Years Pick Your Path You know what you want

"Know when to stay for growth and when to jump for passion. Keep your eyes on who you want to work with next." - Ray Carnes

Bottom Line:

Pick Big Tech if you want:

  • Clear career steps
  • Better base pay
  • Structured training

Pick Startups if you want:

  • Fast career jumps
  • Direct company impact
  • Possible equity payoff

"If you're young and curious about startups - just go for it." - Tech Industry Professional

Before picking a startup, check:

  • Is the product solid?
  • How good is the team?
  • Who's backing them?

For Big Tech, look at:

  • Team fit
  • Growth options
  • Tech you'll use

Remember: You can switch between both. Most engineers do exactly that throughout their careers.

What You Need to Succeed

Here's what it takes to make it in different tech environments:

Skills Needed

Skill Type Big Tech Requirements Startup Requirements
Technical Deep expertise in specific areas, DSA mastery Full-stack capabilities, quick learning
Programming Strong CS fundamentals, system design Practical coding, shipping fast
Tools Enterprise-scale tech stack Modern tech stack (MERN, etc.)
Soft Skills Team collaboration, documentation Direct communication, self-management

The skills gap between big tech and startups is HUGE. Big tech wants specialists. Startups need generalists who can wear multiple hats.

"At Amazon, engineers are expected to meet a 'bar'—a prescribed skill level at each engineering level. An effective way to keep stagnation at bay, this compels engineers to constantly develop and grow, not just to move up levels but to survive within the organization." - Amazon Engineering Team

Company Culture Fit

Aspect Big Tech Startup
Work Style Process-driven, structured Fast-paced, flexible
Decision Making Multiple stakeholders Quick, direct
Impact Focus Team/product metrics Company-wide goals
Time Management Regular hours, planned sprints Variable schedule, tight deadlines

Big tech and startups are like different planets. In big tech, you follow the process. In startups, you ARE the process.

"Once I got Staff (IC6) at Meta, I was able to get Staff-level interviews even though I only had a few years of experience." - Ryan Peterman

Moving Up

Career Factor Big Tech Startup
Promotion Timeline 2-3 years per level Based on company growth
Growth Path Clear levels (L3 → L8) Role expansion
Skills Focus Deep specialization Broad experience
Success Metrics Performance reviews Direct business impact

Want to succeed? Here's what to focus on:

Big Tech:

  • Master CS fundamentals and system design
  • Join mentorship programs
  • Network across teams
  • Build your GitHub portfolio

Startups:

  • Learn multiple tech stacks
  • Own your projects
  • Ship fast
  • Show direct business impact

Here's the thing: 89% of new hires fail because they don't fit the company culture - NOT because they lack technical skills.

Pick the environment that matches YOUR style. That's how you'll do your best work.

Getting the Job

Finding Jobs

Company Type Best Job Sources Tips
Big Tech LinkedIn, Glassdoor Set job alerts, follow company pages
Startups AngelList, F6S, EU Start-ups Direct outreach to founders
Both Next Level Jobs EU (€100k+ roles) Filter by tech stack and location

For startups? Skip the application forms. Email founders directly - they don't have big HR teams waiting for your resume.

Want to land a big tech role? Here's what works: Pick 25-50 companies and blast your applications in ONE week. Why? Your interviews will line up, giving you more power when negotiating.

Interview Types

Stage Big Tech Startups
Initial HR screen (30 min) Founder/CTO chat (45-60 min)
Technical 4-6 rounds, DSA focus 1-2 rounds, practical coding
System Design Required for mid/senior Optional, product-focused
Culture Team matching All-hands meeting
Timeline 4-8 weeks 1-2 weeks

"Getting into FAANGs is TOUGH. Their hiring bar? Sky-high." - Vishal Chaudhary, Former Product Manager and Software Development Engineer

Salary Talks

Negotiation Point What to Do What to Avoid
First Call Let them give first number Sharing salary expectations
Counter Offer Ask for 20% above base Accepting first offer
Timeline Request 1-2 weeks to decide Rushing decisions
Research Check levels.fyi data Relying on outdated info

Here's a shocking number: 66% of people DON'T negotiate their job offers.

Don't make that mistake. Companies EXPECT you to negotiate. It's part of the game.

"Got a job offer? You should ABSOLUTELY negotiate." - Robert Half

The numbers are on your side:

  • 51% of companies are bumping up starting salaries
  • 55% can't find enough skilled tech workers

Before talking money, do your homework. Check Pave, Glassdoor, or Salary.com for the latest rates. Knowledge = power in these discussions.

What's Next in Tech

Here's what's happening in tech right now (and what's coming next):

Change Impact on Big Tech Impact on Startups
AI Integration Heavy investment in AI talent acquisition New opportunities in AI tools/services
Job Automation 42% of business tasks automated by 2027 Focus on high-value tech solutions
Talent Wars "Pseudo-acquisitions" of AI startups More partnership opportunities
Skills Shift Need for AI/ML specialists Niche market opportunities

The data is clear: Up to 30% of jobs in some EU countries will look different by the mid-2030s because of automation. But this isn't a doom-and-gloom story. Here's what's actually happening:

Big Tech's Moving Fast:

  • Google, Microsoft, and Amazon are snatching up AI talent
  • They're partnering with startups instead of buying them
  • AI jobs make up 6% of software positions (as of May 2024)

What This Means for Engineers: GitHub's data shows AI tools boost coding speed by 55%. In the next 2-4 years, we'll see productivity jump 20-40%. But here's the thing: Engineers won't just write code line-by-line anymore. They'll focus on bigger-picture system design.

Role What You'll Need Job Market
Prompt Engineer AI system optimization High & growing
AI/ML Engineer Machine learning, data science Very high
Tech Maintainer Automated system management Rising
System Architect High-level design, AI integration Strong

The job market's shifting FAST. Here's the breakdown:

Big Tech:

  • Building huge AI teams
  • Sharing more tech openly
  • Setting up tech incubators

Startups:

  • Leading blockchain innovation
  • Building AI-powered tools
  • Creating niche solutions

"In my area, quality, it's been a massive shock... things have been turned on their head." - Nicola Martin, head of quality engineering at Adarga

What Engineers Need to Know:

  • Less time spent on basic coding
  • More complex problem-solving
  • AI integration is KEY
  • New AI development roles popping up

The World Economic Forum's latest report puts it in perspective: By 2025, tech will add 97 million new jobs and shift 85 million others. For engineers, it's not about losing jobs - it's about adapting to new ones.

Summary

Here's what you need to know about choosing between startups and Big Tech:

Factor Big Tech Startups
Job Security High, <5% layoff risk Depends on funding/growth
Pay $150K base + RSUs $150-250K + equity
Work Clear tasks, one role Multiple hats, fast pace
Skills Deep technical focus Business + technical mix
Growth Set promotion path Fast but unpredictable

The Employee Happiness Score:

Netflix tops the charts at 89%. Other big players? Not so much:

  • Google: 55%
  • Facebook: 52%
  • Apple: 50%
  • Amazon: 42%

The Money Side:

Take Coinbase's IPO: Each employee's 100 shares jumped to $250 each on day one. That's $25,000 per person. But here's the thing: Most startups DON'T become Coinbase.

If You Want Go With
Safe career Big Tech
Fast learning Startup
Big base pay Big Tech
Equity shot Startup
9-to-5 life Big Tech
Quick leadership Startup

"Big Tech = career growth and steady money. Startups = learning and cool projects." - Anonymous

Pick Your Path:

Just graduated? Big Tech gives you a solid start. Mid-career? Look at your bank account and goals. Senior level? Think about what you want to build.

Let's talk money: A Series A startup might give you 1% equity. If they hit $1B? That's $2M. But 10 years at FAANG could net you $3M - with way less stress.

"Want to build something later? Start with big tech anyway." - Ryan Peterman

Bottom line: Both paths can work. Pick what fits YOUR goals, not what others pick.

FAQs

Do startups pay as much as FAANG?

Yes - many startups match or beat FAANG pay. Here's what you'll typically see:

Company Type Base Pay Extra Compensation
FAANG $150K/year 50-200 RSUs ($20K-400K/yr)
Startup $150K-250K/year 0.1%-1% equity

Let's look at a real example:

When Coinbase went public, they gave ALL 1,700 employees 100 shares each. Those shares? Worth $25,000 each on day one.

But here's the thing: Coinbase is the exception, not the rule. Most startups don't hit it that big.

What are the advantages of working in FAANG companies?

Here's what FAANG companies offer:

Advantage Details
Resume Value FAANG name opens doors everywhere
Pay Big base salary + RSUs
Job Security Only 5% chance of layoffs
Learning Perfect for early-career growth
Career Path Step-by-step promotion system

"Working at FAANG shows you how the big players handle everything - from production to deployments, documentation, and making changes in huge systems." - Oracle, Software Engineer

But here's what the happiness scores tell us:

  • Netflix: 89% happy
  • Google: 55% happy
  • Facebook: 52% happy
  • Apple: 50% happy
  • Amazon: 42% happy

"Get that big name on your resume early - it sets up your whole career." - Ryan Peterman

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About Next Level Jobs EU

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We only list companies that can pay 100k+ for senior software engineers.