A lot of graduates think that compsci jobs involve optimizing algorithms or some shit coz they did that type of thing as undergrads, so they port that attitude across.
It's also the reason why pypy was massively hyped for a while and then not really used all that much. It was solving the performance problems python never really had.
I have noticed some younger engineers on C++ projects doing some kooky things "because it's more optimal", and have taken time to explain to them that the micro-optimisations they're using impact readability, are going to be done by the compiler anyway if they're at all useful, and are likely to be several orders of magnitude less relevant than some lock somewhere, or a bit of IO, or whatever.
Handling process memory usage pre-docker wasn't so easy.
> I remember playing minecraft with friends, and the server was regularly crashing because it was out of memory, or something like that.
I've seen this, but I don't think you can really use one server program running out of RAM as indicative of much. I do still find the pre-setting of max memory on the command line a little bit odd though.