Bill of Materials should really only be used for things that require a list of items/labor, and aren't sold individually such as a datacenter, a building, a hardware integration project, a wedding, etc. For things that are sold individually, "cost" will suffice, and BoM is an example of incorrectly using a more complicated term for the sake of seeming smart.
As a shorthand for expected retail cost, that is terribly misapplied. Or even for internal cost.
The chip would be one line item on the BOM for the entire thing you plan on shipping (but not packaged yet). Even in the case you are "just" selling a chip, the BOM is likely more complicated,and in this context primarily the manufacturing side cares about that. The COGS (cost of goods sold) is something the company as a whole will care more about - this is what it actually costs you to get it out the door. You will hear "BOM cost" referring to the elemental cost of one item on the BOM, but that's not the BOM itself.
None of these are related to the retail (or wholesale) cost in a simple way, either than forming a floors on long term sustainable price.
The GGG-whatever post is using this sloppily to suggest that the chips are going to be very expensive to produce, therefore the product is going to be expensive.
You'll also see BOM in a materials and labor type invoice, (like when you get your car serviced) but that's not relevant here.
MR4D|2 years ago
Also know as cost of the chip.
pie420|2 years ago
ska|2 years ago
As a shorthand for expected retail cost, that is terribly misapplied. Or even for internal cost.
The chip would be one line item on the BOM for the entire thing you plan on shipping (but not packaged yet). Even in the case you are "just" selling a chip, the BOM is likely more complicated,and in this context primarily the manufacturing side cares about that. The COGS (cost of goods sold) is something the company as a whole will care more about - this is what it actually costs you to get it out the door. You will hear "BOM cost" referring to the elemental cost of one item on the BOM, but that's not the BOM itself.
None of these are related to the retail (or wholesale) cost in a simple way, either than forming a floors on long term sustainable price.
The GGG-whatever post is using this sloppily to suggest that the chips are going to be very expensive to produce, therefore the product is going to be expensive.
You'll also see BOM in a materials and labor type invoice, (like when you get your car serviced) but that's not relevant here.
Kye|2 years ago