Angel Sensor was an open-source wearable tracker designed to measure various health metrics like pulse, temperature, and blood oxygen levels. Initially successful through a crowdfunding campaign, the project faced manufacturing and financial challenges, leading to its eventual shutdown. Despite its innovative concept, the company could not sustain operations.
What Was Angel Sensor?
Angel Sensor's main product was an open-source wearable tracker designed to monitor health metrics like heart rate, blood oxygen, and skin temperature. Its unique value proposition lay in its open API and SDK, enabling developers to create custom applications. Notably, it raised $334,000 on Indiegogo and was used in research projects.
What Happened to Angel Sensor?
The story of Angel Sensor is a compelling tale of innovation, challenges, and eventual closure:
Initial Success and Funding: Angel Sensor completed a highly successful Indiegogo campaign in late 2013, raising $334,000, far surpassing its original goal of $100,000. This initial success showcased strong market interest and potential for growth.
Technological Advancements and Challenges: The wristband was designed to measure various health metrics, including pulse, temperature, activity, and blood oxygen levels. However, the company faced significant manufacturing and engineering difficulties, which were detailed in their last blog post from April 2015.
Financial Difficulties and Downsizing: Despite their initial success, Angel Sensor encountered severe financial difficulties, leading to downsizing their R&D efforts. The company fought hard to keep the project alive but ultimately could not sustain operations.
Prolonged Silence and Final Closure: After delivering their crowdfunded product over two years late, the company went silent for nearly a year. They officially announced the shutdown with a banner on their website stating, "This project is no longer active."
Continued Pre-Orders Despite Challenges: Even as the company faced numerous challenges, they continued to take pre-orders for both the original wearable and a second-generation device. This persistence, however, was not enough to save the project.
When Did Angel Sensor Shut Down?
Angel Sensor officially shut down on December 2, 2016. Despite their efforts to overcome manufacturing, engineering, and financial challenges, the company could not sustain operations and announced the closure via a banner on their website.
Why Did Angel Sensor Shut Down?
Manufacturing Problems: Angel Sensor faced significant manufacturing issues that delayed the delivery of their product by over two years. These problems were a major hurdle, as the company struggled to meet the quality and quantity demands of their backers, leading to dissatisfaction and loss of trust among supporters.
Engineering Difficulties: The company encountered numerous engineering challenges that hampered the development of their wearable tracker. These technical issues were highlighted in their last blog post from April 2015, where they admitted to struggling with the complexities of creating a reliable and functional device.
Financial Struggles: Despite raising $334,000 through their Indiegogo campaign, Angel Sensor faced severe financial difficulties. These financial constraints forced the company to downsize their R&D team, which in turn affected their ability to innovate and improve their product, ultimately leading to their downfall.
Prolonged Silence: After delivering their crowdfunded product late, the company went silent for nearly a year. This lack of communication created uncertainty and frustration among backers and potential customers, further damaging the company's reputation and credibility.
Continued Pre-Orders: Even as the company faced numerous challenges, they continued to take pre-orders for both the original wearable and a second-generation device. This decision, while showing persistence, ultimately led to more complications and unmet expectations, contributing to their eventual shutdown.
Lessons Learned from Angel Sensor's Failure
Effective Communication: Maintain transparent and consistent communication with backers to build trust and manage expectations.
Realistic Timelines: Set achievable deadlines to avoid delays and maintain credibility with supporters.
Financial Management: Ensure robust financial planning to sustain operations and support R&D efforts.
Quality Control: Prioritize manufacturing quality to meet product standards and customer satisfaction.
Adaptability: Be prepared to pivot and adapt to unforeseen challenges in engineering and production.
Customer Trust: Uphold customer trust by delivering on promises and addressing issues promptly.
Resource Allocation: Allocate resources wisely to balance innovation with operational sustainability.
We Shut Down Startups
Angel Sensor's journey underscores the complexities and challenges that startups often face, from manufacturing hurdles to financial struggles. If you're navigating similar difficulties, Sunset can help you manage the legal, tax, and operational burdens of winding down your startup.
Don't let the stress of shutting down overwhelm you. Book a demo with Sunset today to smoothly transition to your next venture without penalties or liabilities.
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