Lessons Learned Growing an Open Source Hardware startup

Lessons learned growing an OSHW startup Brent Picasso Autosport Labs

Autosport Labs History in a Nutshell 2003 – I developed a programmable ignition controller for my race car Thought it would be a fun project – Called “Megajolt Lite Jr” 2004 - Socialized design with other enthusiasts – Interest piqued 2005 - Started selling programmed chips & circuit boards to users Moved operations into spare room 2006 - Graduated to kits Moved Operations to our Garage 2006 – 2007 Moved to fully assembled units Mid 2008 - Developed RaceCapture Data Acquisition System (in beta) 2008 – Acquired Manufacturing capability 2010 - Moved Operations to Commercial space (aka “Lab”) Today

What is Megajolt
A programmable, crank-fired ignition system
Designed to replace old-school mechanical distributors
Improves engine power, tunability and smoothness

Typical Users

New Stuff
Race Capture
Data Acquisition System
Interceptor
Smart and Flexible Engine Control
Megajolt/2
Next Generation Ignition Control

Lessons

What To Do? Combine your passion with your skills If this seems obvious, remember...

No Niche is Too Small
Megajolt seemed unlikely to be popular
Required major mechanical surgery to engine!
Yet, still:
3000+ users in 25 countries
No matter how esoteric, you'll be found!
Specialization leads to enthusiastic and focused community

Be Scrappy and Resourceful
Bootstrap your operation
Resist buying new
Research and patiently wait for equipment deals
Then jump on them!
Be OK starting out with modest digs
Don't be ashamed of calling your garage your 'Lab'
Build out the manufacturing capability you find interesting. Outsource the rest

Manufacturing Capacity
Equipment we gradually acquired in various states of disrepair
Pick and Place Machine
Reflow Oven
Drag Solder Machine
Stencil Printer
CNC Solder Paste Dispenser
Mini CNC Mill

Design for Agility
Minimize being vulnerable to your supply chain
Watch out for supply shortages
Re-design before you're caught with your pants down
-> -> Obsoleted Processor Obsoleted Processor ??

Picking a Name
Pick something domain specific
Not product / project specific
MyKickAssIgnitionController.com vs AutosportLabs.com
Gotta have 'em all!
.com/org/net - twitter – facebook
Pick something easy to spell phonetically

Some Name Advice
Marketing Gurus sez: Don't name things with “Lite” and “Jr.”
Oh Well :)

Idea Tangents
Projects will have a life of their own
And breathe life into other projects
Example: RaceCapture project led to these ideas:
Embedded Scripting -> Stamp-Sized ARM module
Tweeting Race Car -> low cost race car telemetry
Ruggedized Dev Board -> 'Hard'uino Arduino clone
Let it flow- don't white-knuckle grip a rigid outcome for your ideas
Most Important – As with software, release early and iterate. Don't strive for perfection.
Something we are still mastering...

Open yourself to contribution
Your peers are your network – they generate business and ideas
Example: Biz Lead from twitter community led to Aluminum enclosure redesign
Old Enclosure New Enclosure

Marketing
Traditional media advertising is dead
But you should dabble in google adwords
We spent $500x2 on magazine advertising
Worst money ever spent
Instead
Tweet. Facebook. Blog. Make videos
Ask your community... anything
Put yourself out there- be transparent and relatable
Create a culture around your company that is durable and impossible to commoditize

Open Source – Community Supported
Be one of your users
we get racers / enthusiasts because we are racers / enthusiasts
Non-traditional business model plays to your advantage
Your community will come to your defense
Building the business can be as fun as developing the projects!

On New Ideas
Sometimes ideas bubble up that don't fit your vertical
If the pressure is high enough, provide it relief with a parallel business
MakerBug – spinoff coming 2011
Open Source Hardware
for fun and education

Fin! Questions? Contact Information: Brent Picasso [email_address] twitter.com/AutosportLabs

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Lessons Learned Growing an Open Source Hardware startup

by AutosportLabs on May 16, 2011

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