Had Vizzini of “The Princess Bride” lived to relate a third “classic blunder” beyond land wars in Asia and competing with Sicilians, he might have urged start-ups to avoid hardware-dependent strategies. Hardware, after all, can be expensive to build and can’t match software for ease (and cost) of distribution. So, is hardware a bad idea for start-ups? Or are we just thinking about hardware in the wrong way?
Open me up, find software/services inside. Gadi Amit of NewDealDesign suggests that the hardware business, long shunned by Silicon Valley VCs for its costs and complexities, may be getting easier due to ready-made manufacturing capacity in China, which is driving down the cost of building hardware.
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