Why “ODM Is Dead” for electronics manufacturing

Red stop sign labeled “ODM” in front of a blurred electronics manufacturing background with PCB assembly equipment

For years, going the ODM route seemed like the fastest way to launch a product. You picked a catalog design, added your logo, maybe tweaked a few features, and got to market fast. No need for an in-house engineering team or deep technical expertise.

But in 2025, that approach is showing serious cracks.

Companies that still rely on ODM partners are learning the hard way: speed without control comes at a cost.

The Promise of ODM — and Its Downfall

Original Design Manufacturers (ODMs) offer a full-package solution: they design, manufacture, and deliver a product ready for sale. Sounds great in theory. But here’s what many companies don’t realize until it’s too late:

  • You rarely own the design files
  • You don’t control the BOM (Bill of Materials)
  • You can’t switch suppliers without starting from scratch

We’ve explained why this is a huge risk in our post on moving manufacturing out of China.

For a deeper comparison between EMS and ODM models and their impact on business success, read our guide.

It’s not your product. It’s theirs, with your logo on it.

Worse, any improvements or customizations you request? They’re often folded back into the manufacturer’s catalog, sold to your competitors six months later.

Why ODM No Longer Works in 2025

1. Supply Chain Volatility

Tariffs, geopolitical shifts, and regional lockdowns mean companies need flexibility to move production.

2. Lack of Transparency

You’re often in the dark about component choices, certifications, and sourcing. That’s a nightmare when something fails or a key part gets discontinued.

3. No Room for Differentiation

In crowded markets, custom features matter. But with ODMs, you’re often limited to surface-level tweaks.

4. You Can’t Scale on Your Terms

Want to take your design and scale it in Vietnam, Colombia, or Mexico? With most ODMs, that’s not possible. You don’t have the files, the specs, or the leverage.

The Real Risk: Losing Control of Your Product

Let’s say your ODM drops a key component from the BOM. Or the factory shuts down. Or they raise prices.

You’re stuck.

You can’t take your design elsewhere. You don’t own it.

That means long delays, surprise costs, and—in the worst cases—scrapping the product entirely.

What Smart Companies Are Doing Instead

They’re taking back control.

More product companies now work with partners that support Design for Manufacturing (DFM) from day one. They’re done with black-box solutions. They want:

  • Full access to design files
  • Clear, documented BOMs
  • The ability to move production
  • Designs built for flexibility, not factory lock-in

We cover this in more detail in our guide to DFM and how it prevents costly redesigns.

This 2025 OpenBOM article explains why BOM transparency is critical in modern electronics design and how missing data can derail production.

That means more up-front work—but it saves you from much bigger problems down the line.

How Titoma Fits Into This Shift

At Titoma, we help companies build electronics they can truly own. We start with DFM, not decoration. From first sketch to final assembly, we make sure your product is:

  • Built with reliable, multi-source components
  • Designed for portability between factories
  • Documented in detail, with files that are yours to keep

We still produce in China and Taiwan, but many of our clients now finalize their products in Colombia, where we’ve set up flexible options to help them stay nimble.

ODM isn’t just inefficient—it’s outdated. If you want control, flexibility, and long-term value, you need more than a vendor. You need a partner who builds with your future in mind.

Ready to Move Past ODM?

Let’s talk. If you want to own your design and keep your options open, we can help you get there.