See, that's the problem!
Your "Least risk" scenario of Amazon offering you a significantly higher base pay than you make now does not exist and will not exist:
> 1. Least risk/least possible reward - work for AWS all cash - no risk of downside. But no upside potential
Likewise, as I said elsewhere, "there's no magical massive upfront pay increase forthcoming that would make up for lost residuals. That was never on the table at any time. There's no way for actors and writers to avoid getting screwed if they don't get residuals." https://news.ycombinator.com/item?id=36927858
> Amazon isn’t going out of business.
That's not the risk. As I said in my previous comment, the risk is that Amazon lays you off. Or maybe they'll put you on PIP and force you to leave.
There is no inconsistency. When you negotiate your compensation you consider the risk/reward benefits of your decision.
If you rank different scenarios as far as risk reward with some being theoretical.
1. Least risk/least possible reward - work for AWS all cash - no risk of downside. But no upside potential
2. More risk/more potential upside - cash + stock. Amazon isn’t going out of business. But the stock has gone from a high of $150 split adjusted to $90 and now back to $130. It could go up. But it definitely won’t go to zero (my choice)
3. Working for a small consultancy and getting paid a cash salary - the consultancy could go out of business. But I also could get paid more.
4. A completely made up scenario: a managing partner in a consultancy where I own a share of the company where I would be promised dividends (ie residuals) of any future growth potential in exchange for lower cash now.