The market for web developers is heavily distorted by companies that effectively own winner-takes-all markets and by a wide range of investor money bonfires chasing similar dreams (not just the unicorns of Softbank and Vision Fund but also a very long tail of much smaller investors and investments).

This isn't quite as prevalent in hardware applications where even well funded startups have to be concerned about actually achieving positive margins and cannot just hope for growth to eventually outpace whatever cost structure they have burdened themselves with.