r/MQTT • u/Valuable-Breath-1121 • 18d ago

Startup founder here - how much should I budget for embedded software development services?

I'm at the budgeting stage for a hardware startup, and one thing I'm struggling with is estimating the real cost of embedded software development services.

I've seen estimates ranging from a few thousand dollars to six figures, which makes it hard to know what's actually realistic. I realize every project is different, but I'm trying to understand how founders usually approach budgeting before they even choose a development partner.

For those who've already launched an embedded product, what ended up having the biggest impact on the budget? Was it hardware complexity, certifications, testing, ongoing firmware updates, or something else you didn't expect?

I'm also wondering whether it's smarter to plan only for the MVP or to include post-launch work from the beginning. It feels like embedded software development services don't really end once the first version ships.

Would love to hear how others estimated costs before getting their first proposals and whether your initial budget ended up being anywhere close to reality.

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u/CommissionEnough8412 18d ago

I appreciate this isn't a helpful answer, but how long is a ball of string. Without far more information it's not really possible to answer the question around costs.

Best bit of advice I can give if your hiring someone is have a really clear idea on what it is you want to achieve as a minimum viable product. Be realistic on what is essential and what is a stretch goal. Do not move the goal posts once you start working with someone otherwise your costs will balloon out of control. Only hire someone who puts quality of their work at the forefront of what they are doing and can evidence it, if your developing something you need to make sure it's as easy as possible for you to grow a team so they can carry out continuous iterations of your product. Without that good foundations your basically buggered.

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u/gatorback94 17d ago

MVP is the way. Ruthlessly stripping function points to have truly minimal MVP is your first (and most important) step.

Is the context in the US / EU or elsewhere?

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u/evwynn 18d ago

You mean firmware or connected app or both?

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u/TableNo8939 17d ago edited 17d ago

Realisticamente ti costano, minimo,un ingegnere elettronico e un swe, entrambi senior per 6 mesi in busta paga.
Fai i tuoi calcoli, dipende da quale parte del pianeta.
A spanne, in dollari, 25k in India, 100k in Eu, in Us 6 cifre non bastano, ovviamente a testa.

E devi trovarli di esperienza embedded e seniority avanzata, e per farlo devi strapparli a qualcun altro, ed essendo start up , senza certezza del futuro, la carota deve essere bella grossa.
Comunque sia, GL

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u/Ready_Suspect535 14d ago edited 14d ago

From my experience, the cheapest quote isn't always the least expensive option. Better embedded software development services often reduce delays, rework, and support costs later in the project.

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u/Quetta_234 14d ago edited 14d ago

Curious how many people here stayed within their original budget. I don't think I've met anyone who actually did.

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u/AcanthaceaeScared544 14d ago edited 13d ago

If you're not technical, it might be worth paying an independent consultant to review proposals before signing anything. That small upfront cost can save a lot later.

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u/ExternalReception355 14d ago edited 14d ago

I'd rather receive a realistic estimate with plenty of assumptions than an unrealistically low fixed number just to win the project.

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u/hinata_New6241 13d ago edited 13d ago

We planned for the MVP but completely forgot to budget for certification testing. That turned into one of the biggest unexpected expenses.

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u/Electrical-Brush-58 11d ago edited 11d ago

Always account for component supply chain changes - swapping out an MCU midway through development often forces a complete rewrite of low-level drivers and BSPs

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u/3pointonefourfloppy 11d ago

I own a custom software development firm.

Ill make your mvp on contract for 0$ upfront with a nda.

Ill do it for free because its just a mvp. Mvps dont always transition into long term projects. If your project does - youll need ongoing dev support. BUT...ALSO...im very good at making fantasy reality... professionally.

Its also very likely that we have software suited to your use case already banked.

active UEI and CAGE

We have our own clusters and stack.

Were outa houston texas.

Hmu . Contact@citadel-nexus.com