Diode Computers, Inc.

What do they actually do

Diode provides an end-to-end circuit board design and ordering service. Customers submit requirements (in plain language, specs, or example boards), and Diode uses its AI-assisted toolchain to draft schematics and layouts. Experienced engineers review every design, Diode sources parts, and they coordinate fabrication so customers receive assembled, working boards rather than just EDA files (company site; YC profile).

Under the hood, Diode uses a “design-as-code” approach. They publish an open domain language called Zener (built on Starlark) and a Rust PCB compiler that generate KiCad/Altium/Cadence projects and run automated checks; pricing on their site frames the offering as a paid design + manufacturing service with project-based tiers (site: Zener/PCB compiler; Diode blog).

They focus on production-grade work for robotics, aerospace, and medical teams that want fast iteration with U.S. manufacturing. The workflow pairs LLMs (including Anthropic’s Claude) with human-in-the-loop review, automated ERC/DFM, BOM checks, and U.S. fab partners; public reporting names early customers and notes recent venture funding to scale (site; Claude blog; Business Insider; a16z).

Who are their target customer(s)

• Robotics startups shipping hardware: They need reliable production boards but also fast iteration; long lead times, part shortages, and redesigning for production vs. prototype slow them down (site; Business Insider).
• Aerospace teams building mission-critical systems: They require high-reliability, traceable boards and U.S.-based manufacturing; qualification, sourcing, and compliance are slow and costly to get wrong (site; a16z).
• Medical device companies moving from prototype to production: They face strict regulatory/safety standards, heavy documentation, and supply-chain risk when scaling to production (site; Business Insider).
• Small or fast-growing hardware teams without deep PCB expertise: They need manufacturable boards quickly but lack bandwidth for sourcing, manufacturability checks, and versioned, reviewable designs (YC profile; Diode blog).
• Large enterprises (Fortune 100s) scaling internal hardware programs: They need predictable cycle times and compliance while coordinating requirements with external fabs/suppliers; procurement friction slows execution (X/Twitter; Business Insider).

How would they acquire their first 10, 50, and 100 customers

• First 10: Leverage YC and investor (a16z) networks and inbound to run short, paid pilots that take a spec and deliver working boards; capture detailed case studies to reduce buyer risk (YC profile; a16z).
• First 50: Publish reusable modules and example designs (the Registry/Zener), run targeted webinars for robotics/hardware teams, and co-market pilot offers with U.S. fabs and distributors to simplify quoting and procurement (Diode blog; site).
• First 100: Hire sales engineers by vertical, package compliance/procurement-friendly contracts for regulated industries, and sign channel agreements with CMs/distributors so enterprises can buy through existing paths; lean on published case studies and investor credibility to unblock buying (Business Insider; site).

What is the rough total addressable market

Top-down context:

Multiple reports put global PCB fabrication around the low‑$70Bs (e.g., USD 71.57B in 2024 per Fortune Business Insights), with PCB assembly of similar scale (USD 73.1B in 2023 per Verified Market Research). PCB design software/services add low‑single‑digit billions (e.g., ~USD 3.9B in 2024 per Persistence Market Research), implying a combined pool roughly in the USD ~140–150B range (FBI: PCB market; VMR: PCBA; PMR: PCB design software).

Bottom-up calculation:

As a near-term focus on North America/regulated production work, a practical TAM can be approximated as a regional share of global PCB + PCBA plus design services. For example, assuming North America represents ~20–25% of global PCB (USD ~14–18B) and ~20% of global PCBA (USD ~18B on a ~USD 90B base), and adding a third of global PCB design software/services (~USD ~1.3B), yields roughly USD ~33–37B; narrowing to Diode’s target verticals (e.g., 40–60% of that pool) suggests an immediately reachable USD ~13–22B segment (FBI: PCB market; GMI: PCBA scale; PMR: PCB design software).

Assumptions:

• North America accounts for ~20–25% of global PCB and ~20% of global PCBA spend (range chosen to reflect manufacturing mix).
• Diode’s near-term verticals (robotics, aerospace/defense, medical, enterprise hardware) represent ~40–60% of North America’s PCB/PCBA/design pool by value due to higher complexity and domestic manufacturing bias.
• Design software/services counted as a proxy for design-as-a-service dollars; some design service value is embedded in EMS/CM contracts and not fully captured by software-only reports.

Who are some of their notable competitors

• MacroFab: U.S.-focused on-demand PCB assembly and production platform with instant quoting and factory management; customers upload designs and order prototypes through low-volume production (site).
• Tempo Automation: Software-driven quick‑turn PCB manufacturer that automates quoting and factory operations for rapid U.S. prototypes and small batches (site).
• CircuitHub: Online platform for turnkey PCB assembly with native CAD handling, instant quotes, and part sourcing to go from design files to built boards (site).
• Altium (Altium 365 / Altium Designer): Widely used PCB design suite with a cloud platform linking design data, supply info, and manufacturer handoff to manage design reuse and manufacturing workflows (Altium 365).
• Autodesk Fusion 360 / EAGLE: Integrated CAD + PCB toolchain (Fusion Electronics/EAGLE) with ECAD/MCAD coordination and links to manufacturing/quoting so teams can go from schematic to manufacturable outputs in one environment (Fusion overview).