Our engineers are fucking morons. And this guy was the dumbest of the bunch. If you think Netflix hires top tier talent, you don't know Netflix.
The reality though is that large companies with thousands of people generally end up having average people. Some company may hire more PhD's. But on average those aren't better software engineers than non-PhD's. Some might hire people who are strong competitive coders, but that also on average isn't really that strong of a signal for strong engineers.
Once you have a mix of average people, on a curve, which is the norm, the question becomes do you have an environment where the better people can be successful. In many corporate environments this doesn't happen. Better engineers may have obstacles put in front of them or they can forced out of the organization. This is natural because for most organizations can be more of a political question than a technical question.
Smaller organizations, that are very successful (so can meet my two criterias) and can be highly selective or are highly desirable, can have better teams. By their nature as smaller organizations those teams can also be effective. As organizations grow the talent will spread out towards average and the politics/processes/debt/legacy will make those teams less effective.
I used to want to work at a FAANG-like company when I was just starting out thinking they were going to be full of amazing devs. But over the years, I've seen some of the worst devs go to these companies so that just destroyed that illusion. And the more you hear about the sort of work they do, it just sounds boring compared to startups.