Tuesday, January 27, 2015

A crowdfunded startup explains why crowdfunding can be a complete disaster


Like so many ambitious young hardware startups these days, Lockitron used crowdfunding to sell people a product before they built it. The company promised users a keyless door lock that paired with Bluetooth, Wi-Fi, and NFC, allowing customers to unlock it remotely or with a simple proximity sensor. Lockitron ran its own crowdfunding campaign and managed to collect more than $2.2 million in pre-orders for around 14,000 units; it aimed to start shipping in March of 2013. The success of that campaign and press attention on the company drove another 70,000 pre-orders through its website.


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