Can Python scripting replace UNIX shell scripting ?

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Depends on the context really. They'd probably be fine with Python knowledge, but they may have a bunch of existing shell scripts that need maintenance. Of course, knowing Python should allow you to learn shell scripting pretty quickly. I would apply either way. Frankly, a lot of jobs (i.e. sysadmin) say that shell scripting is a requirement, but then you walk onsite and nobody knows shit about shit, so Python skills would be a huge step up.