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Could you say more about how making the product open-source will give you a monopoly? Will the data be open-source too? If the product is open-source, how wil

by sama 11y ago

Could you say more about how making the product open-source will give you a monopoly? Will the data be open-source too? If the product is open-source, how will monetization work? If you can get 30 houses in your neighborhood as happy customers, that would be a great start. You should give them super customer service--ie, go around to their units and make sure everything is working perfectly. The word-of-mouth recommendations from your first customers is so important. What do the unit economics look like? How much are you charging for the current units, how much do people need to spend a year to operate them, and how much do they save on groceries?

ph0rque 11y ago
My thinking is that the hardware and software will be open source, but not the data. Also, the OS license would allow modifications for the customer, but not for resale. Since the biggest part of the cost will be the "dumb" hardware (the containers and structure make up ~70% of the cost), it should be straightforward to sell the product at a profit. Another point of monopoly would be to keep up a pace of innovation that is faster than the competitors. I am offering the first customers a sale price of just the material costs. Also, they would get 24/7 support, and the CEO's (i.e. my) cell phone number. Currently, similar products cost $1500+. My costs are $1000 (in quantities of one), and that price will come down 10-fold once I can manufacture 10k units per year. At the current costs ($1500), the payback time is 1-2 years. Once purchased, the cost to operate is negligible (tens of dollars yearly). So they save $1-2k in groceries annually, depending on the length of the growing season.
- sama 11y ago
  I think you will have a hard time claiming that the project is open source except the data which you keep and monetize. I strongly suggest considering other models. Why do you want to "open-source" this at all? Why not just make it hardware and software you sell, and recommendations about how to grow based off of your large data set, but very hackable?
  - ph0rque 11y ago
    Sure, I have no qualms with dropping the open-source label, and opening up the data set. (However, trying to patent the hardware/software might be hard to do, given how much prior art is out there). Do you have any other suggestions on how to build a moat/monopoly?
    - sama 11y ago
      I'd be tempted to try a Nespresso/Gillette model, where the initial product is cheap and the "refills" are relatively expensive subscriptions, but very high quality and easy to use.
      - ph0rque 11y ago
        That is a distinct possibility with plant "inserts"[0] for the vegetable beds, one of the planned innovations I've had in the back of my mind. AutoMicroFarm could sell just the empty media inserts for a reasonable price, and also offer pre-planted, ready-to-fruit plants with inserts for a much higher price. That way, those who are willing to wait weeks/months for their plants to grow from seeds/seedlings can save money, and those who want it now can pay the extra cost. [0] Something like this, but deeper and made of biodegradable material with mycelium (mushroom roots) growing throughout the material: http://www.koifood.net/contents/media/l_floating_plant_island.jpg http://www.koifood.net/contents/media/l_floating_plant_islan...
        jonnycowboy 11y ago
        ph0rque, in addition to all the good ideas here, think about a solution to the problem that all gardens and farms have - that what you want is not always at the right harvesting time. Ie: if I want to eat a carrot, I want it now, not in 2 months. How can you solve that problem with your system? Bigger volume? Exchange with neighbours with their own AMF? etc... Also I'm definatly with @sama on the Nespresso model. Don't even bother selling seeds because some will not even germinate. Sell the pods (biodegradable of course) that "plug" into a prepared receptacle.

by sama 11y ago

ph0rque 11y ago

My thinking is that the hardware and software will be open source, but not the data. Also, the OS license would allow modifications for the customer, but not for resale. Since the biggest part of the cost will be the "dumb" hardware (the containers and structure make up ~70% of the cost), it should be straightforward to sell the product at a profit. Another point of monopoly would be to keep up a pace of innovation that is faster than the competitors. I am offering the first customers a sale price of just the material costs. Also, they would get 24/7 support, and the CEO's (i.e. my) cell phone number. Currently, similar products cost $1500+. My costs are $1000 (in quantities of one), and that price will come down 10-fold once I can manufacture 10k units per year. At the current costs ($1500), the payback time is 1-2 years. Once purchased, the cost to operate is negligible (tens of dollars yearly). So they save $1-2k in groceries annually, depending on the length of the growing season.

sama 11y ago
I think you will have a hard time claiming that the project is open source except the data which you keep and monetize. I strongly suggest considering other models. Why do you want to "open-source" this at all? Why not just make it hardware and software you sell, and recommendations about how to grow based off of your large data set, but very hackable?
- ph0rque 11y ago
  Sure, I have no qualms with dropping the open-source label, and opening up the data set. (However, trying to patent the hardware/software might be hard to do, given how much prior art is out there). Do you have any other suggestions on how to build a moat/monopoly?
  - sama 11y ago
    I'd be tempted to try a Nespresso/Gillette model, where the initial product is cheap and the "refills" are relatively expensive subscriptions, but very high quality and easy to use.
    - ph0rque 11y ago
      That is a distinct possibility with plant "inserts"[0] for the vegetable beds, one of the planned innovations I've had in the back of my mind. AutoMicroFarm could sell just the empty media inserts for a reasonable price, and also offer pre-planted, ready-to-fruit plants with inserts for a much higher price. That way, those who are willing to wait weeks/months for their plants to grow from seeds/seedlings can save money, and those who want it now can pay the extra cost. [0] Something like this, but deeper and made of biodegradable material with mycelium (mushroom roots) growing throughout the material: http://www.koifood.net/contents/media/l_floating_plant_island.jpg http://www.koifood.net/contents/media/l_floating_plant_islan...
      - jonnycowboy 11y ago
        ph0rque, in addition to all the good ideas here, think about a solution to the problem that all gardens and farms have - that what you want is not always at the right harvesting time. Ie: if I want to eat a carrot, I want it now, not in 2 months. How can you solve that problem with your system? Bigger volume? Exchange with neighbours with their own AMF? etc... Also I'm definatly with @sama on the Nespresso model. Don't even bother selling seeds because some will not even germinate. Sell the pods (biodegradable of course) that "plug" into a prepared receptacle.