The Costs to Develop & Manufacture a New Electronic Product

What this episode covers

Host John Teel breaks down the three major cost categories for developing and manufacturing electronic products: development, scaling, and landed production. He details specific expenses including electronics, software, enclosure prototyping, and retail packaging design, emphasizing that entrepreneurs often underestimate these initial outlays. The discussion then shifts to scaling costs, highlighting certification fees and the significant expense of injection molds required for mass production. Finally, Teel analyzes landed production costs, covering components, PCB assembly, labor, testing, scrap rates, packaging, freight, and duties, warning that ignoring these figures leads to financial failure.