Open hardware business model

<p>One of the bottlenecks of <a class="wikilink" href="/open_hardware/">open hardware</a> is to generate a <a class="wikilink" href="/business_model/">business model</a> that can generate enough revenue for the project to keep going. Many <a class="wikilink" href="/open_hardware_projects_focus_on_cutting_costs/">open hardware projects focus on cutting costs</a> because they are created in academic settings, in which labor has a virtual zero cost. </p> <p>Most business models for open hardware are not different than for traditional hardware:[<a class="litnote tooltip" href="/literature/@pearce2017">@pearce2017<span class="tooltiptext">Emerging Business Models for Open Source Hardware</span></a>] </p> <ul> <li><a class="wikilink" href="/specialty_parts_suppliers_for_open-hardware_tools/">Specialty parts suppliers for open-hardware tools</a></li> <li><a class="wikilink" href="/calibration_services_for_open-hardware_tools/">Calibration services for open-hardware tools</a></li> <li><a class="wikilink" href="/selling_open-hardware_tools/">Selling open-hardware tools</a></li> <li><a class="wikilink" href="/selling_open-hardware_services/">Selling open-hardware services</a></li> <li><a class="wikilink" href="/outsourcing_experiments_with_open_hardware_tools/">Outsourcing experiments with open hardware tools</a></li> </ul> <p>However, what is important to note is that most models work on the assumption of <a class="wikilink" href="/artificially_generated_scarcity/">artificially generated scarcity</a>, or even worse on being cheaper (see: <a class="wikilink" href="/open_hardware_should_not_be_a_strategy_to_overcome_licensing/">open hardware should not be a strategy to overcome licensing</a>, and <a class="wikilink" href="/technology_transfer/">technology transfer</a>). </p> <p>A true open-hardware business case can be built if one can prove, for example, <a class="wikilink" href="/the_value_of_a_community/">the value of a community</a> built around a tool. However, <a class="wikilink" href="/making_it_open_is_not_enough_to_build_a_community/">making it open is not enough to build a community</a>, in the same way that <a class="wikilink" href="/being_open_is_not_a_requirement_to_build_a_community/">being open is not a requirement to build a community</a>. Therefore, we must still think if there is a <a class="wikilink" href="/specific_value_in_being_open_hardware/">specific value in being open hardware</a>, such as guaranteeing continuity. </p> <p>As with software, open-hardware could be a marketing stunt (see: <a class="wikilink" href="/why_companies_fund_open_source_software/">why companies fund open source software</a>), but the comparison with software misses the point. </p> <p>Tags: <a href="/tags/open-hardware">#open-hardware</a> <a href="/tags/business-models">#business-models</a> <a href="/tags/technology-transfer">#technology-transfer</a> <a href="/tags/literature-note">#literature-note</a></p>