OEM Service Definition
What Is an Original Equipment Manufacturer (OEM)? An original equipment manufacturer (OEM) traditionally is defined as a company whose goods are used as components in the products of another company, which then sells the finished item to users. The second firm is referred to as a value-added reseller (VAR) because augmenting or incorporating features or OEM services add value to the original item. The VAR works closely with the OEM, which often customizes designs based on the VAR company's needs and specifications. Understanding an Original Equipment Manufacturer (OEM) VARs and OEMs work together. OEMs make sub-assembly parts to sell to VARs. Although some OEMs do make complete items for a VAR to market, they usually don't play much of a direct role in determining the finished product. A common example might be the relationship between an OEM of individual electronic components and a company such as Sony or Samsung that assembles those parts in making their HDTVs. Or a maker o...