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IndustryArena Forum > CAM Software > Uncategorised CAM Discussion > What is a CAM source file worth?
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  1. #1

    What is a CAM source file worth?

    Programmed a job using CAM software, fixed cost, guarenteed to make a good part. Done.

    Now the customer wants my source file so he can turn it over to someone else to do the optimizing.
    I spent 100 hours of my own time developing this source. Within it is embedded my knowledge as well as techniques I learned through 20+ years experience. Some of the attributes of the file:
    It generates G-code free of edits
    It is fully verified crash free
    It is fully verified against the .stl file to produce an accurate part
    And most improtantly, it makes a good part

    Do I give this proprietary information and intellecual property to my competition who, just starting in my local market, is undercutting my hourly rate and making unrealistic promises to the customer because that's what he wants to hear?

    Do I hold out for the optimization work which I had been counting on and why I spent additional time so I could leverage that effort?

    If this file has value, what is it worth?

  2. #2
    Join Date
    Apr 2004
    Posts
    21
    From a programmers perspective, unless you agreed to supply the cuistomer with the source code as part of the original contract, then the source code belongs to you. If the customer wants it, then you can sell it to them if you want, at a price which you feel reflects its true value to the customer, and to you i.e. its market value.
    The customer may argue that if they comissioned you to write the program, then they should have exclusive rights to it, and they probably have a valid case here, unless you specified otherwise in the original contract.
    Bearing in mind the above, you can choose to sell it or not, at the market price which takes into account you possible loss of future earnings from it, and its IP value to the customer. I would work out a value, double it and start negotiating from there.
    Kerin

  3. #3
    Kerin,
    Thank you for the support. I had similar replies on another forum, and the issue is settled. The customer has their G-code, modified by another "programmer" to reduce time by cranking up feeds & speeds. Without going into too much detail, this was a complex part with 200+ machining sequences. I was contracted to make a good process and good part, and while I made a modest effort to do things efficiently, the plan included a second phase of optimization on a per-hour basis. As you know you can program something you know will work the first time, even though there may be extra passes or some air cutting. Once the client was able to produce parts I was planning to follow a 4 step process for optimization that included: reducing air cutting (now the the sequence is established - can be done off-line), adding stubby tools and finishing tools (imagine a 3/16 end mill with 1-3/4 stickout), process optimization (requires machine time), and design changes allowing for shorter or better tools. No response to my engineered continuous improvement approach to reduce the non-value added time, other than he is listening to a third and 4th party who are promising to re-engineer the whole job and evidently break the laws of physics to get parts fast (even though the machine sits idle most of the time).

  4. #4
    Join Date
    May 2007
    Posts
    767
    Oh dear. Any contractor is vulnerable to this sort of customer. Best to start with a clear contract on what is to be supplied for what cost and in what time scale. This can be a very simple statement but can get very legal if you let the experts have a go at boxing out all the options. I have always used the approach that if you can't put it on a postcard and still leave room for the address you are in trouble!

    Seriously I would not part with any code or listing unless that was part of the deal. Since I was first ripped off ever so many years ago I have never taken any notice of promises of further work and priced as a one off with a discount only if further work was placed in a specified time scale. After a few sour experiences stipulate a discount for early payment and don't be afraid to charge for late payment.

    Regards - Pat

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