Many of us develop things for one of two purposes: to hack something cool, or to sell something cool. When hacking something cool, your target market is yourself, and you already know you’ve made the sale. If your goal is to sell the thing you are making, then a lot more thought and effort is required. You could develop the coolest product in the world, but if your target market is too small, your price is too high, your lead time is too long, or any of a dozen other factors is not quite right, you’ll be spending a lot of time and effort on what will amount to a huge disappointment. The Hackaday Prize Best Product has many great examples which let us study some of these success factors, so let’s take a look. Continue reading “Will it Sell?”
These are the Golden Years of electronics hacking. The home DIY hacker can get their hands on virtually any part that he or she could desire, and for not much money. Two economic factors underlie this Garden of Electronic Eden that we’re living in. Economies of scale make the parts cheap: when a factory turns out the same MEMS accelerometer chip for hundreds of millions of cell phones, their setup and other fixed costs are spread across all of these chips, and a $40 million factory ends up only costing $0.50 per unit sold.
But the unsung hero of the present DIY paradise is how so many different parts are available, and from so many different suppliers, many of them on the other side of the globe. “The Internet” you say, as if that explains it. Well, that’s not wrong, but it’s deeper than that. The reason that we have so much to choose from is that the marginal cost of variety has fallen, and with that many niche products and firms have become profitable where before they weren’t.
So let’s take a few minutes to sing the praises of the most important, and sometimes overlooked, facet of the DIY economy over the last twenty years: the falling marginal cost of variety.
Ben Einstein, a product designer and founder at Bolt, a hardware-based VC, recently got his hands on a Juicero press. This desktop juice press that only works with proprietary pouches filled with chopped fruits and vegetables is currently bandied in the tech press as evidence Silicon Valley has gone mad, there is no future in building hardware, and the Internet of Things is a pox on civilization. Hey, at least they got the last one right.
This iFixit-style tear down digs into the Juicero mixer in all its gory details. It’s beautiful, it’s a marvel of technology, and given the engineering that went into this machine, it was doomed to fail. Not because it didn’t accomplish the task at hand, but because it does so with a level of engineering overkill that’s delightful to look at but devastating to the production cost.
You’re a contractor and people are paying you to work in your pajamas. It’s a life of luxury, but when tax time comes, you are in a world of hurt and you wonder why you even do it. Taxes are tricky, but there are some tools you can use to make it less painful on your pocketbook. With planning and diligence, you can significantly increase the amount of money that stays in your bank account. Continue reading “Life on Contract: Hacking your Taxes”
When you think about which of the many technological advances of the 20th century had the most impact on the global economy, which one would you rank as the most important? Would it be the space program, which gave rise to advances in everything from communications satellites to advanced composite materials? Or would it be the related aerospace industry, which stitched the world together so tightly that you can be almost anywhere on the planet within 24 hours? Or perhaps it’s the Internet, the global platform for buying almost anything from almost anyone.
Those are all important, but for the most economically impactful technology of the 20th century, I’d posit that the lowly shipping container and the containerized cargo industry that grew around it win, hands down.
For hardware aficionados and Makers, trips to Shenzhen’s Huaqiangbei have become something of a pilgrimage. While Huaqiangbei is a tremendous and still active resource, increasingly both Chinese and foreign hardware developers do their sourcing for components on TaoBao. The selection is vastly greater and with delivery times rarely over 48 hours and frequently under 24 hours for local purchases it fits in nicely with the high-speed pace of Shenzhen’s hardware ecosystem.
For overseas buyers, while the cost of Taobao is comparable to, or slightly less than AliExpress and Chinese online stores, the selection is again, many, many times the size. Learning how to effectively source parts from Taobao will be both entertaining and empowering.
My buddy Harold recently landed a new job at a great technology company. It came at a perfect time for him, having just been laid off from the corporate behemoth where he’d toiled away as an anonymous cog for 19 years. But the day before he was to start, the new company’s HR folks sent him some last-minute documents to sign. One was a broad and vaguely worded non-compete agreement which essentially said he was barred from working in any related industry for a year after leaving the company.
Harold was tempted not to sign, but eventually relented because one needs to put food on the table. Thankfully he’s now thriving at the new company, but his experience got me thinking about all the complications hackers face with the day jobs that so many of us need to maintain. Non-competes and non-disclosures are bad enough, but there’s one agreement that can really foul things up for a hacker: the Intellectual Property Agreement.