Indie Soapbox on New Hardware with Eternal’s Reggie James

We’re often asked what is and isn’t a fit for indie. Although we’re staunch generalists, there are entire categories many assume are out of reach for our cash efficient approach to investing.

Like many established and emergent categories, the answer to whether something is a fit for indie is often — “It depends.” And, in the case of consumer hardware, some answers might surprise you.

We invited our friend, Reggie James, to help unpack what’s happening in hardware and break down what’s behind many of the recent negative viral product review videos currently hitting the internet. Reggie is a longtime friend to indie and prolific advisor to many of this new crop of hardware startups in market and in development. He cuts right to the point with strong opinions and spicy takes that may not be obvious to the casual observer. You’ll also hear a view on technology and culture that extends far beyond any single device.

In this video we touch on —

1. The disconnect between the world of venture capital/tech startups and the reality of many creatives/builders who don’t view capital as a tool for building. With AI enabling code generation, this group could potentially produce venture-scale outcomes without relying on traditional funding.
2. The tech industry has struggled with effectively communicating and branding themselves, especially after the era of Steve Jobs and Apple’s lifestyle branding. This has led to insular narratives and misunderstandings around emerging technologies like crypto and AI.
3. Physical products and hardware still hold importance for branding and communicating a clear lifestyle/use case, unlike software companies that often neglect this aspect. Successful hardware brands like Teenage Engineering have a distinct identity tied to their products.
4. Devices like Humane’s are attempting to break people’s “addiction” to smartphones by offering an alternative that frees the user’s hands and gaze, challenging the narcissistic nature of current mobile devices.
5. Niche hardware products like USB Club’s file-sharing network cater to specific communities (DJs, designers, etc.) and could enable new economic models by tying hardware to digital networks and data storage.
6. There is a potential cultural shift happening around the perception of manufacturing/trade jobs, with younger generations being more open to these paths instead of defaulting to universities and white-collar work.

We tried a new format with this one to make it less of a conversation and more of sermon on a category we care deeply about and one we’re watching closely for investment opportunities.

As always, if you’re working in the area or have feedback on this new format, don’t hesitate to get in touch.

— Bryce