MakerBot: Challenges in Building a New Industry

Erik Noyes, Ruth Gilleran

Like Apple did, Makerbot Industries offered its first product in the form of a kit. Enthusiasts, who wanted to build their own 3D printer and enter the brave new world of personal manufacturing could create any object in their imagination-as long as it was no bigger than a coffee cup. The founders of Makerbot--Bre Pettis, Adam Mayer and Zach Smith--were each passionate to bring affordable 3D printing to the masses. Moreover, they would not betray their commitment to open technology and open innovation. Above all else, they wanted to make their 3D printers understandable to and modifiable by users. They did this by keeping every aspect of their 3D printers' hardware and software open and adaptable. Through the creation of Thingaverse.com(a universe of things), an expanding army of Makerbot enthusiasts could upload, share and modify a growing array of 3D objects including toys, small inventions, medical devices and even architectural models. What advantages did Makerbot's strategy of openness bestow? How was Makerbot positioned for future battles in the emerging personal manufacturing industry with Hewlett-Packard and others? Lastly, how did Makerbot turn a unique research endeavor into a powerful idea attracting venture funds from Jeff Bezos, The New York Times and venture capitalists?

Learning Objective

1. To appreciate the significance of executing iterative learning experiments through the production of inexpensive prototypes in order to determine future entrepreneurial actions. 2. To understand the importance of having a strong customer value proposition and correctly identifying and selecting target market segments to pursue. 3. To better understanding 3D printing--a technology which is likely to disrupt the manufacturing industry and create new opportunities for entrepreneurs. 4. To examine the advantages and risks associated with open source strategies centered on community engagement.

Details

Pub Date: Jan 1, 2013(Revised: Apr 1, 2015)

Discipline: Entrepreneurship

Subjects: Crowdsourcing, Entrepreneurship, Open source software, Prototypes

Source: Babson College

Product #: BAB706-PDF-ENG

Teaching note: Available

Industry: Printing

Length: 17 page(s)