Machine Learning Engineers Vs. Software Engineers: Who Earns More In The U.S. And Around The World

In today's tech-driven world, both machine learning (ML) engineers and software engineers play crucial roles and are increasingly pivotal. But which role commands higher compensation? Let's examine current data and trends to explore the salary landscape within the US and across different countries and companies to answer this question.

Disclaimer

Any numbers mentioned in this article are for reference only. It's important to understand that there is always limited transparency regarding the salary of software engineers and ML engineers. Salary packages can vary depending on a job's skill and experience requirements, location, the employer’s budget, and the candidate’s negotiation skills. Do not, by any means, use the numbers here as a hardline for your job search. Do your own research on how much a role should be paid and how much your skills and experience are worth in the current market.

The main objective of this article is not to pinpoint exact numbers for the salary of software engineers and ML engineers, but rather to see if there are significant differences in salary if you choose one career path over another.

We'll focus more on salaries for entry-level and intermediate-level jobs since these are what most of you will be looking for. Numbers for these levels are also more consistent and less skewed by the occasional outlier.

Do ML Engineers Earn a Higher Salary? US Market Statistics

Data consistently shows ML engineers earning more than software engineers in the U.S. market.

Our Experience as Recruiters in AI

From a recruiter's perspective, ML engineers command higher salaries due to two key factors: their specialized skill set and market dynamics. The combination of AI expertise, data science knowledge, and statistical modeling capabilities makes ML engineers particularly valuable. Additionally, while software engineers are relatively abundant in the job market, professionals with deep ML expertise remain scarce.

The growing adoption of AI across industries suggests this salary premium will likely persist. As more companies compete for limited ML talent, we expect compensation packages to continue rising, particularly for engineers who can demonstrate practical AI implementation experience.

Here is a slightly more expanded analysis into specialized skills that warrant higher salary offers:

• MLOps expertise 
• Deep Learning specialization
• Cloud ML platforms (AWS, Google Cloud, Azure)
• Research publication experience
• Domain expertise (healthcare ML, financial ML)

Machine Learning Engineer Salary - Key Trends

What Are Some Key Market Trends For Machine Learning Engineer Salary?

Industry is a key factor in the hiring trends for ML engineers, with sectors like finance, healthcare, and retail leading the charge. 

1. Finance: ML engineers are highly sought after for developing algorithms that optimize trading strategies, assess credit risks, and detect fraudulent activities. 
2. Healthcare: ML is enhancing diagnostic accuracy and predictive analytics by analyzing medical images and patient data. 
3. Retail: ML is revolutionizing the shopping experience through personalized recommendations and targeted marketing based on customer behavior and preferences.

How Do Machine Learning Engineer Salaries Differ Across Geographical Regions?

United States

• ML Engineers: $82,000 to $200,000 annually
• Entry-level: ~$106,000 
• Mid-level: ~$118,000 
• Senior-level: $145,000+

Asia-Pacific

• Japan: $33,000 to $75,000
• South Korea: $,29,000 to $68,000
• China: $25,000 to $65,000
• India: $9,000 to $18,000

The geographical data indicates a wide gap in the salaries of ML engineers with the highest earning ML engineers in the U.S potentially earning up to three times their counterparts in Asia. 

Top-Paying Companies

Based on data collected from DataCamp, tech giants like Apple, Netflix, Google, Amazon, and Meta offer some of the most lucrative compensation packages for ML engineers.

Further compensation could come from things like performance bonus (15-25%), stock options, research budgets, conference allowances, or additional education benefits.

Comparing Software Engineer and ML Engineer Salaries

The salary gap between ML engineers and software engineers varies significantly by region. In the U.S., ML engineers earn substantially more, with salaries ranging from $160,000 to $236,000 annually, compared to software engineers' range of $110,000 to $136,000.

However, this pattern doesn't hold globally. In Japan, for example, both roles command similar compensation, with software engineers earning $39,000 to $75,000 and ML engineers earning $33,000 to $75,000 annually. This salary difference reflects the different maturity levels of AI markets. While Japan shows growing interest in AI technologies, its market hasn't reached U.S. levels of development and demand, resulting in more modest compensation differences between the two roles. 

Career Progression Comparison

Software Engineering Path:

• Junior Developer → Senior Developer → Tech Lead → Engineering Manager
• Typically 2-3 years between advancement
• Clear, well-established career ladder

ML Engineering Path:

• ML Engineer → Senior ML Engineer → ML Architect → AI/ML Director
• Often faster progression due to field's rapid growth
• Opportunity to specialize (NLP, Computer Vision, MLOps)

Our Advice for Software Engineers Who Want to Go Into Machine Learning

Despite regional variations in compensation, we strongly recommend software engineers consider transitioning into machine learning. While ML engineers currently command higher salaries in the U.S., the global trend is clear: ML expertise is becoming increasingly valuable across all markets.

Based on our recruiting experience and market analysis, we expect Asian markets to follow U.S. trends as AI adoption accelerates. Even in regions like Japan where salary differences are currently minimal, we anticipate growing demand for ML specialists will drive compensation higher. For software engineers willing to invest in developing ML expertise now, the long-term career prospects appear particularly promising.

If you're a software developer looking to transition into a ML engineer, don't hesitate to contact the Hyphen Connect team for assistance.

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About Hyphen Connect

Hyphen-Connect is a recruitment and staffing consultant focused on helping AI and web3 businesses find the best talent and build the best team. When we are not too busy helping companies hunt down the world’s best talents, we love to share tips on recruitment, staffing, and career advancement.