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To be fair, from that perspective every backend web application in every language is really just "calling C code".

That's overly simplistic and untrue. If you write a C# / .Net program you're not "just calling C code", you're not calling C at all.

but then your runtime VM calls C :)

But the CLR is written c, c++ and assembly which is what runs c#. Also the syscalls that run down the chain are also written in c, c++ etc.

That is just the runtime. That is smaller of fraction of what is going on when your programs execute than you think.

The C# code you write (and majority of the your code's dependencies) are JIT compiled to native machine code (or more recently there are AOT compilation options).

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