The main point is that manufacturing, especially high-volume, consumer, apple-quality products, is very hard and requires serious expertise. Such startups should bring in such mechanical & production engineering expertise, because the hardware becomes as important as the software & electronics.
The irony is that many software startup wizards brush off mechanical design the same way that naive managers treat software development. "It's just a [box/case/app/website], how hard can it be?"
You have summarized the perfect take-away from this article. Disclosure for bias: I am the 4th generation of an American manufacturer, that has survived for 100 years in New York City.
Of the hundreds of retail startups I have seen that are going to contract manufacturers, none have had a manufacturing expert or even one with any experience. In fact, it's severely undervalued with respect to importance. If they do have someone from manufacturing, they probably aren't being paid relative to their market scarcity.
The best manufacturers also design what they make, their own product, and do not make for others.
Apple has manufacturing experts and manufactures themselves, hence they control what they make. <startup-person class="random inexperienced" /> does not, so they cannot have their quality level, by definition. Hence, they pay more because they didn't capture the margin, and because they have to get in line to pay a contractor who knows how. But they cannot bring a serious order unless they are funded by deep pockets.
Here in America, we have lost most of our manufacturers, leaving three generations missing manufacturing experts. This is a no-brainer, obvious to all. However, the connection is rarely made that we have lost our manufacturing capability because /it is difficult/. It's so difficult it had to go to a highly efficient country with cut-throat competition, abundant labor supply, and abundant poverty. The perfect conditions for plunging down manufacturing costs.
Manufacturing is quite different from "making." We are having a resurgence of interest in making in this country, which is exceptional. Arduino is amazing! It manufactures for the people, not for other companies, reducing cost and providing access. Making doesn't scale without manufacturing expertise. I hope manufacturing is part of the renaissance as it grows.
> Of the thousands of retail startups have seen that are going to contract manufacturers, none have had a manufacturing expert or even one with any experience.
Wouldn't that be why they are trying to contract manufacturers?
Not at all. Manufacturers constantly contract to other manufacturers. Hence terms like OEM. If you haven't been involved in some part of the chain at some point, it's non-straightforward to learn the ropes. Certainly possible, of course; the stats are not encouraging though.
Basically I was trying to say, it really helps to have someone with some manufacturing experience in-house if your startup involves it, even if you're not the actual manufacturer.
Consumer-level quality is not a thing you can easily spec. You're going to give a 3D model to a manufacturer, and they'll put the parting lines, ejector pins and gates wherever is easiest/cheapest to manufacture, not where it'd minimize evidence of molding. You can then spend a lot of time learning about processes and redesigning your form to meet both cost and aesthetic requirements, or you can have someone with manufacturing experience iterating with you from the beginning.
The irony is that many software startup wizards brush off mechanical design the same way that naive managers treat software development. "It's just a [box/case/app/website], how hard can it be?"