Obviously both a business person and an engineer will have value in a venture. There's nothing wrong with both types negotiating and asking for their fair share.
"a pair of frat boy types who had business school degrees."
"They pitch their idea as if it were a company, but all they have are some powerpoint and a few phone calls under their belt."
"They don't understand when I laugh at them..."
I do not want to disregard anyone's skills, technical of business. Even if the GP is right that those guys where frat boys, they probably had valuable connections to bring into the table. But it is not fair that biz types hide behing the "salary" argument to shortchange engineers.
They are not just bringing early employees, they were looking for their CTO, for goodness sake! I am ok with not offering an "equal partners" deal, but it has to be partners. IF they are so wonderful business types, they why they do not get a Series A round without a product and then hire an employee CTO with a matching salary?
I will answer you why, and it is the same reason why engineers should not demand millionaire salaries. It is because your contribution's worth zero if it is not leveraged by the contribution of the other partner.