Original Equipment Manufacturer (OEM)

An Original Equipment Manufacturer (OEM) is a company that produces parts, components, or equipment that are used in the final products sold by other companies. For example, a car manufacturer might source engines or electronic systems from an OEM. The OEM designs and manufactures these parts, which are often integrated into a larger product by a different company. This relationship helps streamline manufacturing and ensure quality, allowing the brand that sells the finished product to focus on assembly and branding, while the OEM specializes in producing specific components.