Business Plan
Business Plan
Initially, the products will be sold at a loss to attract customers, progressively increasing the price of the product as time progresses. As the initial production run will be done at a low scale, we, at first, will use 20 already existing chipsets and boards, which will serve the first edition. Once a second model is released, we will ship a more compact edition due to self-produced PCBs, that in the case that there’s a higher run of production, will save us money.
Model 1
Model 2
Model 3
-All work done locally
- Higher cost of product because everything is computed on the device
- Reason why this cannot be computed on a normal desktop is because it would take too long.
- We use Metis Axelera which is a Resnet50 accelerator (budget)
- Large LCD Display touchscreen. We use an LCD to cut costs instead of using AMOLED.
- We collaborate with some printer company such as HP (example) for the printing.
- All work done on cloud
- Must always be connected
- You have credits, the credit amount gets reduced for each computation, for the initial run of the products we would have free credit points, but in the future those wouldn’t be free anymore once enough people use the product.
- Same information for the printer.
- It costs credits to send the model into CLO3D, unlike in the Model 1
- Cheaper.
- We use the same injection molded casing from the outside as used in the previous models, for cost saving as a mold costs a lot of money
- All work done in cloud
- No printer, must connect to an existing compatible printer.
- We use an AMOLED Display to attract attention to customers about the display. We say it represents colours of the final model better.
- Rest same as model 2
Subscription Plans and Costs
For all models, we use a NUC-based compact motherboard with a basic computational capability of Intel Celeron or i3, which will be just enough to send information to the cloud, or to let the Metis Resnet50 accelerator work.
The only limitation is that it needs to have an M.2 Port for the Axelera to work. Cost of such motherboard including CPU RAM and iGPU would be around of €140 if purchased in bulk from a selected distributor, such as ASRock Industrial.
Everything would run on a Linux based distribution AntiX, based on Debian; we have chosen this because it’s the lightest distro available, which would allow for all power to be directed into our software.
Production of the casing would be injection moulded and as the assembly is quite simple, we can obtain cheap labor for low-skilled workers for cost saving, and keeping our offices in a low tax zone/no tax zone such as Luxembourg.
We can then convert the technical and financial specifications to a subscription plan;
1. The basic, first-level plan would work as a free-for-all app that would use a credit-based system. That would mean that each design round costs a credit. A user can get 3 free credits every month to use, and if they wish to buy credits, they can do so at a price of €15 per credit.
There will also be a point collection system, where with every credit purchased, a point will be made and once considerable mounts of points have been collected, they can be translated to discounts for future purchases.
2. The second-level model will be with a purchased BOX that works with a pay-per-use.
This BOX can be purchased at a cheaper price than the market price and the third-level model, and would be attractive to users who don’t plan to actively use the BOX.
3. The third-level model is sold at market price, and this warrants being able to use the product at all times with no additional costs