> There is a lot of favoritism that goes on in industry as well.

There sure is, but I don't think your example is evidence for that. People just like to hire based on recommendations and through friends. Several times now I've been interested in some startup, and when I looked at their team page, they were all from the same group: either all Indian, or all russian speakers, or something else. I bet most startups are like this, just that some cases are more apparent than others.