This problem extends to the consumer side as well. Developers use expensive MacBooks and fiber internet connections and the end user has a laggy experience running the hundreds of megabytes of JavaScript on an average site. The user has no choice but to upgrade their computer, and then companies see the new spare CPU cycles and fill them up as well. The end result is that while hardware keeps getting ridiculously faster and more efficient, user experience doesn't noticeably improve.
It is just Writh's Law (https://en.wikipedia.org/wiki/Wirth%27s_law) in action.