The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
GoPro is a failure?
Jawbone is being liquidated as its CEO launches a related health startup
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Re: Jawbone is being liquidated as its CEO launches a related health startup
#32The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
I think there's still a ton of potential though. The right company just needs to come up with the right formula.
I thought the Fitbit looked good on certain women.
Aesthetics aside, I don't know if I want anything on my wrist other than a nice mechanical watch.
I repair watches. I've been following these watches since day one, and just been dissapointed.
I just got a Waltham 17 jeweled moment running. The last service was inscribed on the case back. It was last worked on on '62. I washed, and oiled the movement. It's a few seconds fast. It just tells the time, and I like the way it looks. Done.
Then again, I'm starting to like the Iwatch. When it first came out, I was very disappointed. But lately? It just doesn't look as bad? It's just looking better? It must be psychological? I still see it's the number one for sale watch on CL though. (My record for sentence fragments.)
If anyone cracks the code, they will gave a real successful product.
There's a lot of psychology behind a watch. I've noticed men are more interested in timepieces than women. I used to think it was just that women have more fashion choices. Now I don't know the reason.
Re: Jawbone is being liquidated as its CEO launches a related health startup
#33The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
GoPro is a failure?
Their revenues are falling and their operations losing cash. They have $75 million of cash on their balance sheet, less than their Q1 2017 net loss.
[1] https://www.google.com/finance?q=NASDAQ%3AGPRO&ei=fNBeWcCjCc...
Re: Jawbone is being liquidated as its CEO launches a related health startup
#34The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
Why do the big corps succeed (Google, Apple, Amazon) and the startups fail. I guess all three of those have had failed hardware products and successful one as well. So they can afford a failure? Startups just need more runway?
There are still waves going on now, and there are probably some startups being founded right now that will get rich off of them. It's just that the waves probably aren't what VCs think they are.
Re: Jawbone is being liquidated as its CEO launches a related health startup
#35The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
> The days of consumer hardware company's access to startup capital is over. So I haven't worked at a hardware start-up but it seemed pretty difficult even before these companies to raise funding versus a pure software play. I'm not necessarily convinced this makes it easier or harder. Is there a specific reason you think it will be harder now? Also, for what it's worth, Fitbit and GoPro are still going. I'm convince…
Re: Jawbone is being liquidated as its CEO launches a related health startup
#36Probably the closest to what people wanted was Mi Band - a bit too simplistic, but close enough. And this opinion is shared by many of people I know.
In order to create a successful fitness tracker, create a device with:
-distance tracker
-steps tracker
-waterproof (good enough to swim in swimming pool)
-mobile phone notifications, alarms
-no screen needed or extremely simplistic screen is OK
-battery live of at least 7days
-heart rate monitor (do not need to be constant)
-good software, small size
-make it look simple - let users decide on adding bits to it
-sleep tracker that works and learns
-use phone and app for making most of the calculation to save battery
-the price of $49
This tool would kill the market. As of now, Mi Band is closest, but their software/app is bad and there are some issues with hardware and customisation.
Re: Jawbone is being liquidated as its CEO launches a related health startup
#37The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
Smart hardware belongs to big players only. A hardware company needs to deal with, Design, Engineering, Marketing, Production, Sales, Customer services, etc... If any of those step is messed up, the product is over. This is why I don't recommend anyone to get involved in this kind of business.
Re: Jawbone is being liquidated as its CEO launches a related health startup
#38Earlier quoted context omitted.
> The days of consumer hardware company's access to startup capital is over. So I haven't worked at a hardware start-up but it seemed pretty difficult even before these companies to raise funding versus a pure software play. I'm not necessarily convinced this makes it easier or harder. Is there a specific reason you think it will be harder now? Also, for what it's worth, Fitbit and GoPro are still going. I'm convince…
It's so easy for Shenzhen to just copy them though. There's nothing defensible about hardware.
as soon as the iPod came out way back in the day, the criticism was that it would soon be copied. No one ever did, and I worked in the music business at the time and was familiar with everything on the market. nothing ever came close, apple made a ton of money.
it's a common thing to say that it's not defensible/can be copied, but I don't see that happening always.
Re: Jawbone is being liquidated as its CEO launches a related health startup
#39The problem with fitness trackers and smartwatches is that each and every brand keeps adding unnecessary features to the stack. They won't listen to users and keep building devices that have no market. Most of those companies created a product that was good and needed a good amount of work to make it better. But it seems that developers and management felt that simple = bad, and worked their asses off to add useless…
Re: Jawbone is being liquidated as its CEO launches a related health startup
#40The days of consumer hardware company's access to startup capital is over. With so many high profile VC backed (Fitbit, GoPro, Hello, Juicero, Coin, Pearl, ect.) and kickstarted (Lily.ai, Pebble) failures, no one is willing to risk it.
I'd ascribe the failure to the commodification of the fitness tracker and increasingly platform-driven smart speaker space. Here are some companies that have raised big rounds recently: + SimpliSafe raised $57M from Sequoia + Ring raised $100M+ from DFJ + Formlabs raised $50M from Foundry + Sphero raised $23M in April + Anki raised $52.5M in PE I'm not sure what the future holds for Anki/Sphero, but the first three e…
Simplisafe raised the $57m in 2014 and seems to have been able to make a sustainable business without VC money. Form Labs is seemingly (with the rest of 3D printing) moving away from consumer to B2B focus.
I find Sphero/Anki raises surprising and wouldn't be surprised if they had Chinese Funds leading the rounds.