Now this is a useful pice of kit!

Rapid prototyping is the "proper" name for the technology, been around for years, there are a few different types. As the name suggests, commonly used to rapidly make prototypes! Traditionally the materials have been quite weak but the materials are getting better, now being used for production parts I believe.
Basically you model the job using suitable 3D software, eg pro engineer wildfire. If you make an assembly from parts the prototype should be made in parts. You can also "reverse engineer" using a scanner but you need a decent (expensive) one really. Common "party tricks" are adjustable spanners and a ball in a cage.
 
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