FreeWater Unveils Six New Free Vending Machine Models in How to Make a Free Product Company

FreeWater’s new book, How to Make a Free Product Company, doesn’t just explain a revolutionary business model — it gives readers the tools to build one. In a major step toward open-sourcing the free product economy, the company has released six new types of free vending machine models, each designed to show how anyone — from a hardware engineer to a small startup — can launch their own version.

“Our goal was to give the world the business processes so that anyone can apply them however they want,” says founder Josh Cliffords. “We had issues with vending machine manufacturers in the past because they locked us into expensive subscriptions and bloated code that constantly broke the machines. This way, you can do whatever you want — and that’s the best part of being open source.”

The six models vary in complexity, but all include essential layers of security to ensure nobody can simply empty the machine of free products. As the designs progress, they also become more intelligent and personalized, serving increasingly meaningful ads to users.

The most advanced design pushes the concept to an entirely new level. It’s a machine that prints and applies individualized labels in real time — with three separate layers advertisers can bid on:

1. The physical label itself

2. A QR code that leads to dynamic calls-to-action

3. An augmented reality (AR) layer that appears when scanned with a smartphone

By enabling backend ad bidding directly on product packaging, FreeWater unlocks entirely new revenue streams and reimagines what “cost-per-click” means in the physical world. Each scan, each interaction, and each purchase opportunity becomes a monetizable event — and advertisers compete in real time for the most valuable real estate on the product.

“This single machine alone could have resulted in up to ten patents and countless trade secrets,” Josh says. “But it’s far more valuable to give the processes to the world and see what everyone else builds on top of them.”

The release of these vending machine models represents more than just hardware innovation — it’s a roadmap for how free and negatively priced products will scale globally. By putting the power in the hands of creators, manufacturers, and entrepreneurs, FreeWater is accelerating the shift toward a future where everyday goods are not only free but also smarter, more personalized, and infinitely more profitable.