I beleived that too. But recently, one of my uncles, who was being considered to be promoted to being a director in his company, was rejected because the other person who got promoted, had a masters degree.

And my uncle was like, "I wish I had done my masters degree when I was young".

It feels stupid to say this out loud, but this incident did impact my thinking.

Edit: My uncle works at an automobile parts manufacturing company, I'm not sure how his experience applies to software industry.

Masters degree matters. The fact that you graduated undergrad matters. The actual grades you earned do not.

If an applicant included their undergrad report cards or GPA with their resume, I would take this as a sign of naivete and would most likely slot this person as a junior engineer.

Conversely, if an employer ever asked to see my grades from undergrad as a condition of employment or promotion, this would be a major red flag for me.

Edit: Masters degree is less valuable for a typical web dev or SWE than years of experience in the industry. Specialties like ML/AI are an exception.