# Ep. 23 - Making Money with Open Source Hardware

- Show: [Open Hardware Manufacturing Podcast](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast)
- Published: 2024-06-27
- Length: 1h 00m
- Page: https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware
- Listen: https://opulo.io

## Summary

Stephen Oz and Lucian Chea of Opulo discuss various business models for open source hardware, contrasting the high costs of physical production with software. They explore revenue streams including selling assembled units or kits, crowdfunding via Kickstarter and Crowd Supply, and raising capital through SAFE notes or venture capital. The hosts also detail alternative monetization strategies such as licensing designs to manufacturers, selling affiliate links for bill-of-materials components, and securing government grants like the NSF POSE grant.

## Chapters

- [0:00](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=0) Introduction: The Challenge of Monetizing Open Hardware
- [2:58](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=178) Selling Hardware: Kits, Assembled Units, and Bootstrapping
- [7:19](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=439) Crowdfunding: Kickstarter, Crowd Supply, and Product Market Fit
- [14:28](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=868) Raising Capital: SAFE Notes, Venture Capital, and Y Combinator
- [22:31](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=1351) Building Community and Marketing Organic Growth
- [27:02](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=1622) Licensing Models: Nerf Blasters and Royalties
- [34:52](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=2092) Support Models: Paid Support and Contract Work
- [40:26](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=2426) Research Grants: Next Generation EU and NSF POSE
- [43:25](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=2605) Affiliate Links and BOM Commissions
- [47:33](https://hardwarepodcasts.com/podcast/open-hardware-manufacturing-podcast/2024-06-27-ep-23-making-money-with-open-source-hardware#t=2853) Donations, Patreon, and Community Support

## Topics

- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [Crowdfunding & preorders](https://hardwarepodcasts.com/topic/crowdfunding)
- [Fundraising & investors](https://hardwarepodcasts.com/topic/fundraising)
- [Marketing & brand](https://hardwarepodcasts.com/topic/marketing-and-brand)
- [Intellectual property](https://hardwarepodcasts.com/topic/intellectual-property)
- [Direct-to-consumer & e-commerce](https://hardwarepodcasts.com/topic/direct-to-consumer)

## Most relevant to

early-stage companies

## Mentioned

- Opulo (company)
- Lumen (product)
- Recon Tools (company)
- Formlabs (company)
- Creality (company)
- Glow Tie (product)
- Crowd Supply (company)
- Y Combinator (company)
- Next Generation EU (other)
- NSF (other)
- V1 Engineering (company)
- Voron (product)
- Multiboard (product)
- Marlin (product)
- Blender (product)

## Related episodes from other shows

- [Adafruit, Chip heist, Hackerspaces - The Kit Conniption](https://hardwarepodcasts.com/podcast/the-amp-hour/2011-04-26-adafruit-chip-heist-hackerspaces-the-kit-conniption) (The Amp Hour)
- [289: Stamping HORSE on Zebras](https://hardwarepodcasts.com/podcast/embedded-fm/2019-05-30-289-stamping-horse-on-zebras) (Embedded.fm)
- [Kickstarter, Manufacturing, Open Hardware - Judging Jurisdictional Junctures](https://hardwarepodcasts.com/podcast/the-amp-hour/2012-09-24-kickstarter-manufacturing-open-hardware-judging-jurisdictional-junctures) (The Amp Hour)
- [Kickstarter, IndieGoGo & Ignite - Jasperated Jimswinger Jobbery](https://hardwarepodcasts.com/podcast/the-amp-hour/2013-04-24-kickstarter-indiegogo-ignite-jasperated-jimswinger-jobbery) (The Amp Hour)
- [065: Hardware Funding from Seed Financing to Millions](https://hardwarepodcasts.com/podcast/product-startup/2021-03-02-065-hardware-funding-from-seed-financing-to-millions) (Product Startup)

## Citing this page

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