Based on how much candidates and interviewers both seem to enjoy this, I hardly see any reason to do a whiteboard interview at all anymore. Personally, I don't even look a resume before I do a pairing exercise with a candidate. I don't feel the need to know anything about someone going into it, and I feel like I learn all I need to spending two hours with them on a task.If you're having trouble hiring good programmers, give it a shot. Replace part of your interview process with a pairing exercise and see if it makes a difference.
Sounds like a fun interview.
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