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DanArmak comments on Call for new SIAI Visiting Fellows, on a rolling basis - Less Wrong
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Anecdotally, half the benefit of inventing your own language is cutting yourself off from the pool of other, inferior developers :-)
Remember that Eliezer's assumption is that he'd be starting with a team of super-genius developers. They wouldn't have a problem with rolling their own tools.
Well, it's not that it's impossible, it's more that it drains off energy from your project into building tools. If your project is enormous, that kind of expense might be justified. Or if you think you can make a language for your application domain which works much better than the best of the world's professional language designers.
However, in most cases, these kinds of proposals are a recipe for disaster. You spend a lot of your project resources pointlessly reinventing the wheel in terms of lint, refactoring, editing and code-generation technology - and you make it difficult for other developers to help you out. I think this sort of thing is only rather rarely a smart move.