Processing Power: Selection of processor is based on the amount of processing power to get the job done and also on the basis of register width required.

Throughput: The system may need to handle a lot of data in a shirt time.

Response: The system has to react to the changing events quickly.

Memory: Hardware design must make the best estimate of the memory requirement and must make the provision for expansion.

Power consumption: Systems generally work on battery and design of both software and hardware must take care of power saving techniques.

Number of units: The number of units expected to be produced and sold will dictate the trade-off between production cost and development cost.

Expected life-time: Design decisions like selection of components to system development cost will depend upon on how long the system is expected to run.

Program Installation: Installation of software on to the embedded system needs special development tools.

Testability and Debug ability: Setting up test conditions and equipment will be difficult and determining what is wrong with the software will become a difficult task without a keyboard and usual display.

Reliability: It is always required that the system designed must give the output for which it is designed.