What is the position? Is it to fill a chair? Is it to produce one-off work? Or is it to produce a larger project that's maintainable for the long term?
It's not simply enough to have some skill: for every bit of skill a person brings to the team, there is the additional overhead of communication with that person. After a point, adding more people to a project is simply not productive and even a hindrance, regardless of the calibre of those people. A small number of great programmers can often outperform a large team, and cost a lot less in salary and benefits.
If someone is 5/10 skilled, that person should spend time to get better at something. Read more books. Watch more talks. Study algorithms, design patterns, anti-patterns, etc. Write more code. Get good at something. I'm not a good C programmer. I like C, but I've never done enough to get good at it (maybe someday). But I built a distributed, fault-tolerant auto-scaling LNMP stack that services thousands of API requests per second, without a rearchitecture, because I studied how to scale and wrote scaling into the system from day one.
Embedded software experience is an in-demand skill. Many programmers can create bloated, slow code, but few can write lean, efficient, and fast code. That's highly valued in the embedded space, of course, as it's needed, but it's also very in demand at scale, because being inefficient costs a lot of money. If I were hiring, I'd look very fondly at someone with this skill, much more than someone who is focused on simply the language de jour. It's easy to find people who can produce code. It's hard to find people who can solve problems well.
I can't speak for every area, but in my locale there are plenty of hardware-oriented startups that have a tough time finding qualified people. The jobs are out there, but I agree the market is smaller than for pure software. One place hardware companies struggle is writing good drivers and application software. Someone who got good at that, along with having the embedded knowledge, would be very in demand.