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Open source Rapid release cycles No “respect” to old rules
Hardware components:Arduino Due×1 SparkFun Triple Axis Accelerometer and Gyro Breakout - MPU-6050×1 Software apps and online services:Unity Arduino IDEHand tools and fabrication machines:3D Printer (generic)
IP protection Huge budgets Brand reliance Distribution Prototyping Equipment All different now
Price Quality Features
All new product ideas exist on a continuum. Validated ideas are those for which a company already knows how to capture value. Ideally, a company can map every step of the value chain: from the supply chain, through a retail transaction, and into the user’s home. When every step of that value chain is understood, the product’s value is understood—the product idea has been validated. Companies exist to define these crucial value chains in every conceivable way. Competent companies are those that are best at managing value chains. Companies are not as good at dealing with ideas where one or more links of the value chain are undefined. The more links in the chain that remain undefined, the more risky an idea appears. Product ideas that have many unknown value chain links can be classified as non-validated. Non-validated innovations are those for which a company is unable to predict the value—usually because the company lacks experience or the market has yet to emerge. Non-validated product ideas represent the biggest growth opportunities for companies because, instead of cannibalizing sales of existing products, non-validated products create a new category.
Servers - Cloud
From Taylor Dawson: As product developers, we have become accustomed to launching products in a specific way. The NPI process dictates that we should do so. There are a couple of assumptions built into NPI that have become major impediments to launching groundbreaking new innovations. First, NPI assumes that the cost of developing and launching a product is on the order of millions of dollars. Most large companies are convinced that the best new innovations are those that have nearly instant potential to gain significant market share. When these companies consider product launches, they think of multi-million dollar, multi-year projects. Second, NPI processes consider secrecy as a key competitive advantage. Nearly every enterprise R&D lab includes multiple layers of security, requires NDA agreements, and threatens punishments to employees who disclose its secrets. This secrecy is designed with the assumption that competitors are closely monitoring a company’s actions with the intent and ability to copy or disrupt. I’ve seen products that routinely failed to make the cut under the cover of confidentiality become hailed as major breakthroughs when developed in the open.
Open Innovation is Eating The World
Open Innovation Is Eating the World
Co-Founder & xCEO of Hackster.io
An Avnet Company
Everything I’ve learned from our users and partners at
Hackster, one of the largest hardware communities earth.
500,000+ Engineers & Makers
15,000+ Published Projects
200 Technology Partners
#1 Fastest Growing HW Community
Hackster is an open
Create A Place That’s Open.
Create a Space for Sharing.
Faster Innovation = Open x Shared
belong to you”
I asked the CEOs and VCs of thriving hardware startups and open source
hardware platforms the following question:
“What are your favorite best practices or tools that keep you
innovative and faster than yesterday?”
1Innovation is a
Define it and embrace it at every level,
especially management. Bake it into
metrics and KPIs that reward both wins and
fails on route to your destination.
Product Market Fit
When you commit to a genuine product
market fit, almost everything else can be
figured out. Risks with new categories
will be mitigated if customers truly love
Non-validated ideas are your future categories
or significant feature extensions that should
be explored. This is how you grow,
differentiate, and create a culture of renewal.
Don't build ANY PRODUCT unless you are
certain that at least 100 people are 100%
willing and committed to pay for it.
Breakthrough ideas are often, not always, startups led. But
quality and long term promise happens in Fortune 100.
High Barrier To Entry
Lower Barrier To Entry
Try Uncomfortable Things
1. Validate new product categories on Kickstarter
2. Crowdsource unusual ideas on Hackster
3. Pay bonuses for failed attempts (Google does it)
4. Be patient with slow starts, smaller $ returns are OK
5. Try new tools, like Dragon Innovation’s Product Planner
6. Experiment with a flexible NPI process: “OpenNPI”
Thank You !