What is an Original Equipment Manufacturer (OEM)?
An Original Equipment Manufacturer, or OEM, is a company that produces parts or equipment that are then used in another company's end product. For example, a company that manufactures computer processors is an OEM for a computer company like Dell. In an OEM partnership, one company's product is integrated into and sold as part of another company's product, often under the second company's brand name. This allows the first company to reach a large market without having to build a brand or a sales channel.