Traditional contract manufacturing pricing pushes risk to one side or the other. OEMs absorb full tooling costs before volumes are proven and carry excess risk during early commercialization. Manufacturers, on the other hand, are asked to invest capacity without enforceable demand, absorb inefficiencies caused by uncertainty, and optimize for price instead of long-term performance.
The result? Delayed program launches, constrained scale, and fragile partnerships.
We believe there’s a better way— one that rewards commitment, protects both parties, and scales with confidence.
Partnerships Should Reflect Commitment
We design manufacturing programs for the entire lifecycle— from early production through tens of millions of units. Our shared-risk commercial model is built on a simple principle: The more predictable the program, the more we can invest upfront.
Instead of one-size-fits-all pricing, we offer multiple commercial paths, each balancing tooling investment, piece price, and volume commitments transparently.
How the Model Is Structured
Our shared-risk model gives OEMs options. For example:
- OEMs that prefer maximum flexibility can retain full control of tooling economics in exchange for higher than standard production pricing at lower volumes.
- OEMs willing to make moderate, multi-year volume commitments can reduce upfront tooling investment in exchange for market pricing per unit.
- OEMs prepared to make strong, enforceable volume commitments unlock deeper tooling investment support— without increasing piece price.
When agreed production targets are met, performance-based retrospective adjustments allow both sides to share in the upside.
No hidden levers. No forced volumes. Just clear tradeoffs.
See How It Works
To make this model tangible, we’ve created a short digital asset that walks through a hypothetical—but realistic— example of how shared-risk pricing works across:
- Tooling investment
- Piece pricing
- Volume commitments
- Performance-based rebates
Complete the form on the right. No commitment required. Just a clear illustration of how aligned economics unlock better outcomes.
REQUEST SHARED-RISK PRICING EXAMPLE
Complete the form below to receive a digital walkthrough illustrating how shared-risk manufacturing economics work in practice. We’ll send the asset directly to your inbox.
