Latest / Hardware Startups with Fexingo: Devices, Robotics, and Manufacturing Tech Companies
How Hardware Startups Use Value Engineering to Cut Costs
In this episode of Hardware Startups with Fexingo, Lucas and Luna explore value engineering as a systematic way to reduce component costs without sacrificing quality. They walk through the story of a smart home hub startup that cut its bill of materials from $87 to $62 per unit—a 29 percent reduction that saved hundreds of thousands in annual production costs. The hosts break down the steps: BOM analysis, identifying high-cost custom parts, substituting commercially available ICs, redesigning power management, and rigorous testing to ensure reliability. They also discuss when value…
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