This video will explain what OEMs are and provide examples of how Apple and the automobile industry leverages OEMs.
What are OEMs (Original Equipment Manufacturers)?
In short, OEMs are the companies that own the machines to make a product. Apple does not own the machines to make the iPhone, MacBook and any of their other products but Foxconn does. So, Foxconn, is an OEM of Apple.
If you look at automobiles, most of the parts are not made by the brand, but by OEMs. These OEMs can also sell these parts to multiple different automobile brands as well.
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