.@elonmusk method for roughing out costs:
1. mwc= magic wand cost: (materials @ spot market price, wand arranges atoms)
2. overhead o=1.15x for eg. consumer tech, 10x autos, 1000x aerospace
3. price = mwc*(o^n), (n = layers in supply chain)
beware “overhead to the nth power”
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[source]: personal communication (though i think i remember he mentioned this in a public talk somewhere, can’t find the link)
11:22 AM - 11 Dec 2021
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