- A problem with the staff - there's either not enough of them or they haven't the skills to do what is required
or
- A problem with the management.
I've never worked in a role where incompetent people were hired and couldn't get what needed to be done done, but I've worked under plenty of incompetent management.
If you instead mean homegrown tech giants then you have a definite point. The only European giants I can think of are Telefonica, Vodafone, Deutsche Telekom, Nokia and SAP. It would be interesting to see the research on if the reason for that has much to do with the horrible work expectations in the US.
Well, that's not entirely true. Unfortunately, in Portugal, it's more like 6PM; 7/8PM for tech jobs. And no tech giants here, also. :)
Basically, if you believe that hitting a deadline is worth having overall less productivity for, you can reasonably crunch for 2 weeks, and have the third week as an acknowledged low productivity week, and it might be worth it. Anything much beyond that is counter-productive on pretty much all axes and a strong sign that management is incompetent.
Long crunch times (more than two or three weeks) are strong evidence of deliberately abusive management, who are willing to lower productivity below what it would be with a 40-hour work week for the sake of their egos.