Vendor Quote Teardown consultance.ai

Vendor
Quote
Teardown.

Paste the numbers off a technology quote or a capex proposal. This splits the price into the part AI turned into a commodity and the part that still genuinely costs money, then reprices it. Vendors are not villains here. Their pricing model was just built on labour maths that no longer holds.

Enter the quote ↓
01 //

The quote

four numbers
$
The one off build number on the proposal.
Intersections, cameras, branches, locations.
$
Support, hosting, licence, maintenance, per year.
How long you are locked in.
02 //

The split

allocate the build
Detection and core software logic now commodity
40%$0
Integration with existing systems
20%$0
Calibration and field commissioning
15%$0
Evidence handling, audit trail and data retention
15%$0
Liability, insurance and human signoff
10%$0
Allocation total 100%
Shares total 100, so each bucket is that share of the quoted capex.
Detection and core logic Integration Calibration Evidence and retention Liability and signoff
03 //

The teardown

live
Total cost of ownership over the term
$0
capex plus opex
quoted capex + (annual opex x years)
Cost per unit per year
$0
across the whole term
total cost of ownership / (units x years)
Now commodity
$0
of the quoted build
This is the detection and core software logic bucket. It is the part a competent person can now rebuild in days rather than the long build the price was written around.
quoted capex x detection share
Still real
$0
of the quoted build
Integration, calibration, evidence handling, liability. These four do not compress. Somebody still has to go on site, sign the paperwork and carry the risk.
quoted capex less the detection bucket
$
Your number, not ours. What it would cost you to get the detection logic working to the same standard. This is an assumption, edit it.
%
Padding for everything the teardown did not foresee. Sets the conservative end of the range. This is an assumption, edit it.
Repriced build, keen end
$0
still real plus rebuild
still real + assumed rebuild
Repriced build, conservative end
$0
keen end plus contingency
keen end x (1 + contingency)
Worth negotiating
$0
of the quoted capex
Measured against the conservative end, so it is the gap that survives padding. At the keen end the gap is wider.
quoted capex less conservative repriced build
Same teardown, across the full term
Quoted, whole term
$0
Repriced, whole term
$0
Gap, whole term
$0
repriced whole term = conservative repriced build + (annual opex x years). Opex is left untouched by the teardown, the split applies to the build only.
04 //

Sanity check

public figures
ProgrammeCost per unit installedRunning costNote
Your quote $0 $0 per year Quoted capex divided by units. Quoted opex divided by units.
US government estimate, AI adaptive signal control $115,810 $10,050 per year Per intersection installed, plus annual cost after installation.
Seattle school zone installations $63,158 not stated $1.2M budgeted across 19 school zone locations, roughly $63k per location.
New York City speed camera programme not stated $104M operating Over $164M spent between 2014 and 2019, of which $104M was operating cost.

Enter your numbers to see where your quote sits.

05 //

The read

Calculating.

Assumptions on screen, nothing hidden
  • The five shares are yours. If they do not total 100, every bucket is computed as its share divided by the total of the five, so the split always reconciles back to the quoted capex.
  • The rebuild cost and the contingency percentage are inputs you set. There is no multiplier applied behind them.
  • Only the build is repriced. Annual opex passes through the term untouched, because support, hosting and field response still cost what they cost.
  • The benchmark rows are fixed public figures. They are context for your cost per unit, not a target price.
06 //

Source tape

3 entries