Original equipment manufacturer

Supply chain pyramid

An original equipment manufacturer (OEM) is generally perceived as a company that produces parts and equipment that may be marketed by another manufacturer. The term is also used in several other ways, which causes ambiguity. It sometimes means the maker of a system that includes other companies' subsystems, an end-product producer, an automotive part that is manufactured by the same company that produced the original part used in the automobile's assembly, or a value-added reseller.[1][2]

  1. ^ Tracy Kidder, The Soul of a New Machine, 1981, Chapter One, paragraph 17, "hence the rise of companies known as original equipment manufacturers, or OEMs—they'd buy gear from various companies and put it together in packages".
  2. ^ Practical Law, Original Equipment Manufacturer (OEM).

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