Tenex, a software consulting firm, is revolutionizing compensation by paying AI engineers based on output (story points) rather than hours worked. This model has enabled some engineers to earn over $1 million annually by leveraging AI for a 10x productivity increase. The company's approach stems from a realization that traditional hourly billing disincentivizes the adoption of AI tools that accelerate development. Tenex focuses on hiring highly capable engineers and uses challenging take-home assessments to identify talent, with their primary growth constraint being the acquisition of exceptional human capital. AI
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RANK_REASON This is a product/business model innovation from a company, not a frontier model release or major policy change.
