3 ms·
Profit margins are low when you ship physical stuff.
by adamnemecek 2y ago
Profit margins are low when you ship physical stuff.
- Jtsummers 2y agoThat depends on your market. In the aviation field margins can be pretty high for certain components, but the money is in the longtail (repairs and replacements), not in the initial sales. This leads to bidding low and skimping on budgets in the initial development portion. Once the system is deployed, they'll make plenty of money but there's less that needs to be done to sustain it on the software side.