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Making Money From Open Source Hardware
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Making Money From Open Source Hardware

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A discussion of the business models around open-source hardware. Discusses the value chain in the manufacturing and distribution of Arduino boards and other products. Draws some broader implications …

A discussion of the business models around open-source hardware. Discusses the value chain in the manufacturing and distribution of Arduino boards and other products. Draws some broader implications and raises general questions about the topic.


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  • Such a good tutorial. Thanks.

    Mark Chang, www.free-ringtones.co.in/ www.free-ringtones-for-sprint.com/
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  • 1. Making Money from Open-Source Hardware David A. Mellis Reboot11 – 26 June 2009 – Copenhagen
  • 2. Introductions
  • 3. Me Arduino Copenhagen Institute of Interaction Design MIT Media Lab
  • 4. Open-Source Hardware Provision of the digital artifacts necessary to produce, understand, and modify a piece of hardware.
  • 5. Arduino Open-source electronics prototyping platform. Hardware Software Community
  • 6. Value Chain
  • 7. “I don't want to sell anything, buy anything, or process anything.... I don't want to sell anything bought or processed, or buy anything sold or processed, or process anything sold, bought, or processed, or repair anything sold, bought, or processed.” —John Cusack, Say Anything
  • 8. ArduinoTM
  • 9. Advantages Disadvantages Small capital investment Small profit margin Few expenses No barrier to competition Limited risk Have to protect the name Flexibility Visibility
  • 10. Arduino
  • 11. Open-Source Software
  • 12. Manufacturers
  • 13. Distributors
  • 14. Bundlers
  • 15. ARDX Experimentation Kit From .:Oomlout:.
  • 16. Business Models
  • 17. Selling Kits Photo by Zach ‘Hoeken’ Smith
  • 18. Open Source Hardware Reserve Bank
  • 19. Selling Commercial Products http://www.flickr.com/photos/avenafatua/2561017754/
  • 20. Consulting
  • 21. Don’t people rip you off ?
  • 22. Contributions
  • 23. Implications
  • 24. There’s real money here.
  • 25. The people who invest (risk) money are the ones who make money.
  • 26. Open-source keeps you honest.
  • 27. Questions
  • 28. Is there anything new here?
  • 29. Does it need to be open-source?
  • 30. Is it wrong to make money from this?
  • 31. How much will people do themselves?
  • 32. Thank you.

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