If you were comparing what the other company was charging your company for their developers: Labor and software services have different markets. Because, among other things, tax/insurance regulations and the expectations of contract longevity are not the same. A software shop needs to charge 2-3x salaries to be profitable. I was referring to a theoretical free market for labor.
If you were comparing salaries, either your company was compensating you with extra prestige, job security, etc. or you were underpaid.
If you were comparing salaries, either your company was compensating you with extra prestige, job security, etc. or you were underpaid.