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open-hardware-business-model-design New business Open Hardware Business Model 10 models present an opportunity for IT infrastructure providers facing a migration in value as buyers demand cloud-like, customer-centric experiences.  Press enter to select and open the results on a new page. Search. Hardware’s business-model shift: Finding a new path forward. March 3, | Article. By Himanshu Agarwal, Chandra Gnanasambandam, Mitra Mahdavian, and Srinath Nagarajan. Open interactive popup. Article (8 pages). Hardware’s business-model shift: Finding a new path forward. Open interactive popup. Article (8 pages). New business models present an opportunity for IT-infrastructure providers, who are facing a migration in value as buyers demand cloud-like, customer-centric experiences. DOWNLOADS. Open interactive popup. Open-source hardware (OSH) consists of physical artifacts of technology designed and offered by the open-design movement. Both free and open-source software (FOSS) and open-source hardware are created by this open-source culture movement and apply a like concept to a variety of components. It is sometimes, thus, referred to as FOSH (free and open-source hardware). The term usually means that information about the hardware is easily discerned so that others can make it – coupling it closely to the. There are an increasing number of open-source hardware board designs – Arduino, Raspberry Pi, Beagleboard and many others – that enable hobbyist projects and the reuse of board designs in commercial products. And many engineers are Open Hardware Business Model Python putting a lot of time into enabling these movements via collaborative work online and through the creation of vibrant online communities. What is less clear is whether such movements will scale into the commercial world. There is a lack of clear business model and dependence, in some cases, on the donation of engineers' time by commercial organizations. That wa. As such, there is no set price for all items in the store. You can start your hardware with these basic items and then expand your inventory by adding other new products based on what your customers are frequently requesting for. What assets do i have? Make yourself aware of the channels. In this paper, for simplicity and con- ceptual clarity, we accept the level of aggregation at which an activity open hardware business model design described as a given. As a rule of the thumb you need to understand your market thoroughly before you commit your open hardware business model design to the business. Given the vital importance of the business model for entrepreneurs and general managers, it is surprising that academic research dsign a few exceptions has so far devoted little attention to this topic.

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Comment: Exchanging needs channels, an infrastructure where it can happen and gets supported. Look also up to the roles. What do they need? Make yourself aware of the channels. But focus here mostly on those channels, you like to provide or use yourself.

What do you extract from the exchanges? Look at the channels and transactions, where is your income? Providing channels very often gives possibilites for income, for extracting some of the exchanged things. Channels are often harder to duplicate than building plans for example.

To find your answer here you can also use the bottom part the open source hardware business model matrix below. Be aware: your income is not necessarily limited to money. After you are done with colum six you can start the whole process over. Is something missing in the first column now, maybe you want to add some of the channels as assets?

Repeat as long as it takes till you have all your storylines clear. Hopefully you found a scenario in which your product is a platform and economically working. Download matrix vs 0. Slides for a german lecture explaining some the matrix. The matrix is devided in two parts.

The upper part lists the possible advantages that could arise, when you go open source. Going open source gives you a lot interessting possibilities and chances to develope and organize your idea, business or project. Advantages you can not use, when you are closed. You could build your business model around these. The part that starts at the bottom just lists income possibilities: where does the money come from?

Between everything you can figure out your individual business model. Which elements work for you, what is your individual combination?

There are empty spaces in the matrix because the field ist still developing and to leave an open space for your ideas and imagination.

You will find here at least some information on every square of the matrix. But its just entry points. There is of course a lot more to say and to find. The matrix is an organization model for knowledge you already have of find somewhere else.

Talk is about vs. Open innovation is for most people a very promising chance you have with open source. Having your building plans open and also your problems gives many people the chance to look at it and help you with that. People can look at your designs and share their ideas, how to make it better. You can receive some great input, help or feedback. Open innovation has very often proven to be faster, cheaper for you and to produce solutions of a better quality.

There is a lot literature about open innovation , also in the web. An open product Open Hardware Business Model Not Found provides maybe more possible ways to interact with it and use it or adapt it. Openness makes it easier to hack the product! Make your product a platform easy to play with and rearange for customers and third parties. Macgyverize the world! Openness makes it easier and cheaper to repair things. Also reuse of individual parts maybe you have an modular design is easier if the parts are open.

The use of open standards makes it easier to adapt the product to new usecases. There is a lot to say about openness and sustainability. Providing and producing a sustainable product is a lot easier in many cases if you chose to go open soure. Aspects of sustainability are in more than one square of the matrix. Here are some mentions: Ease of reapir, reuse and making a product longlasting as mentioned above.

Educational effects of openness. Open innovation as a driver for the spreading and discovery of sustainable products and production chains. Sustainability is a valuable goal in itself.

But for many business it also provides a lot of possibilities to do better business at all. An open product has the build in possibility to work as a platform for other businesses.

This could mean that those business live from developing and providing extra usecases for your product. This makes your product maybe easier to build and of course more valuable for the consumer.

To understand this just look at the open structures project and imagine your furniture would have been build upon this grid. Take a look from time to time at this platform and find cool new ways how you could rearrange, transform it and take everything to a next level! As for electronics: Think about the internet of things. Using and providing open standards makes it easier to connect everything to everything and gain yourself interessting network-effects out of networking your objects.

Open source is still a very young movement. But the chance that it will grow and become the next big thing are pretty high. Connected to success will come some common shared narratives and ideas about open source.

Whatever narratives will emerge it is realtively shure that they will have a Open Hardware Business Model Data very positive spin. And yes, almost all of the stuff you can say about open source is good and valued by people. Going open source means to connect all of this to your brand. But let us take a short look, what is there good to say about open source? Open source focusses on the wellbeing of communities rather than the wellbeeing of individual people.

Open source includes people in the design of their products and environment. Open source treats and addresses people as intelligent, creative and responsible individuals. It shares knowledge and cares about educating and empowering people. Kids and adults can use all of their stuff as educational material.

This is another thing than addressing them as just stupid consumers. Educating people and motivate them to be a caring part of their environment is something high valued by our societies. Openness and sustainability are working greatly together as already described above. This fact is of course something you can make work for your brand.

Lets get serious for a second. While closed things are more and more suspected to went behind your back and work secretly against you open source technology allows you to understand and control it more fundamentally. In a more and more complex and networked world this is a key feature to sustain your freedom and our democracy.

Probably people will more and more understand this. And it will work for your brand as well as for your business. Closing things costs a lot of money.

Patents, lawyers, law-suits, secrecy agreements, safety measures etc. Going open source could save you a lot of this money! Use it to make your product better!

Good ressources can make great viral ads. Open source enables a lot of new and different ways to collaborate with others. Matrix vs. Open standards makes it easier and maybe cheaper to develope your product, maintain it, connect it to others and provide good support. Open Source is probably the key strategy towards closed material cycles. Making closed material cycles work for you could save you a lot of money for a variety of reasons.

Your product is only good as long as it is useful for the consumers. Very often support is needed. Support can be very expensive for you and hard to maintain.

Opening up building plans allows others to do that work. People can share openly solutions for problems in the internet. Save money and have a better service and support infrastructure build around your product as you ever could have done it yourself. Openness is very often used by compagnies to attract new and highly motivated and qualified employees.

Open environments are very often more fun and more interessting to work in and easier to get interessted in from the outside. Take a look at this article about amazons problems to keep good employees with closed source methods. It is that easy. Physical products produced with care, skill, energy, time, ressources and equipement are still scarce.

And what is scarce you can sell. The building plans of this chair might be free, but when i use them to produce a chair for you you will pay me of course for my work. When you are selling a service like energy, transportation, waste disposal you will always get paid for it.

This wont change when you use open source hardware to produce the service: An open source power plant, an open source car, an open source waste disposal infrastructure will allow you to create your service with a better quality and maybe to a lower price because you can activate all the advantages of open source to run your infrastructure. There will be one question asked in the future again and again: Why not public infrastructure like police cars, waste disposal, street lightning etc.

But still here are some open parts. And for some businesses it might be interessting or make sense to work that way. And there is still something that is open. Have an open core and sell exclusively addons or extra features. Freemium and Premium. The coffee machine is open but the pads needed for it are not.

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