Challenge
Assist a client in evaluating the cost of developing owned intellectual property for future product generations against the risk of using commercial off-the-shelf intellectual property.
Solution
Estimate the production costs of existing product labor and material content to assess the amount of amortized intellectual property development costs in purchased component assemblies.
Summary
Product development companies understand that designs using commercial off-the-shelf (COTS) components can be cheaper and faster to implement than creating a fully proprietary product.