Skully Helmets Shutting Down?

[HyperPete]

I can't say that I did not expect this. They were WAY overpriced. Hopefully nobody here pre-ordered a AR-1 helmet from them.


https://www.techspot.com/news/65759-a...-like-hit.html

AR motorcycle helmet company Skully looks like it's hit a wall

Skully, the hardware startup behind the augmented reality motorcycle helmet that raised $2.4 million on Indiegogo, has shut down operations, according to TechCrunch. The move follows the ousting of CEO Marcus Weller along with his brother and fellow co-founder Mitch earlier this month.
With its promise of a heads-up display, 180-degree blind-spot camera, GPS, and other audio/visual features, the Skully AR-1 raised more than $14 million from investors and crowdfunding backers. But the shutdown means the 3000+ people who pre-ordered a helmet are now unlikely ever to get one, and sources says the chances of them receiving a refund are slim.
The closure is said to have come about following a botched deal with Chinese firm LeSports, which was apparently looking to acquire Skully as the startup was rapidly running out of cash. A manufacturing issue that slowed down shipment of the AR-1 also contributed to the company's problems.
“I’m shocked and deeply saddened that they would now shut this company down,” Weller told TechCrunch. “We were raising a Series B to continue raising capital but then we had a buyer…I’m almost dubious to this.”
It was only two weeks ago when Skully sent out an email promising that the AR helmets were on their way. “Over 400 AR-1 units will be in customers’ hands by the end of July and all pre-orders will be fulfilled by the end of September. We have 100% confidence in our delivery schedule and will continue to keep you in the loop. Please stay tuned because we have very exciting announcements coming up,” read the message.
While a a total shutdown looks imminent, senior members of staff are still hoping the company’s fortunes will turn around. “The Skully executive team is working diligently on closing a round of funding so that we can continue to fulfill our pre-orders and delight our customers,” said marketing VP Carlos Rodriguez.
Skully’s website is still up, but all the AR-1 helmets are now showing as “Sold Out.”

 

[bhendron]

That's a bummer, but yeah, the entry fee was/is a bit steep.

 

[eflyguy]

Why would anyone sink that much $$ into something disposable. Perhaps they planned to allow electronics to be ported over, but I haven't seen it.

They are taking orders. "Shipping in November"..

 

[El Toro]

I think that start ups are easy ways for entrepreneurs to get paid while they develop stuff .... sort of.

The more money they're advanced, the less likely you are to see an actual commercially viable product.

This product looked to me like an unnecessary boondoggle. The fact that they were dealing with the Chinese gives me a warm fuzzy feeling as I watch them go under.

I'll bet the principles are not being hurt by this result, except that it might be harder for these guys to pull it off a second time. They may have to go to work.

 

[Bungie]

I'm really active in a startup community. All of the crowdfunding options are getting a reputation for being a shady option. Many many very well funded projects never see the light of day. That being said, I'm a fan of the concept, but I wouldn't be investing more than a handful of bucks for anything.

As for the Skully, no surprise to me their.

 

[Nanahanman]

One has to enter the startup financing game with the understanding that it may fail and you will loose your money.

Tha's how investment works. You could win ...you could loose. There are no guarantees.

If you have "bought" an item that has not been made yet, you are effectively investing that money and could loose it.

So the idea is, by all means, support this kind of funding but decide how much you are prepared to loose before setting the amount you are willing to pay.

"Ya pay yer dollar and ya take yer chances"

 

[El Toro Joe]

And the Elio will probably not be far behind Skully...

https://eliogenuine.eliomotors.com/?sctp=ppc&scvn=google&scsrc=google_search&sckw=elio&gclid=CM256KromM4CFQsIaQodWPcOQg

 

[RaYzerman19]

I would have thought most would question whether the helmet was a good one, not noisy, may not fit the Shoei, Arai, Nolan, etc. head shapes, and what happens when the dedicated electronics don't live up to expectations........ risky business venture.

They should have perhaps ventured into universal electronics that would fit most helmets and be serviceable.

 

[HyperPete]

And the Elio will probably not be far behind Skully...
https://eliogenuine.eliomotors.com/?sctp=ppc&scvn=google&scsrc=google_search&sckw=elio&gclid=CM256KromM4CFQsIaQodWPcOQg

I sure hope not. I have been watching that since it's inception. They have already invested a lot into infrastructure, so I would think that there is a better chance of it's survival.

 

[Bounce]

One has to enter the startup financing game with the understanding that it may fail and you will loose your money.Tha's how investment works. You could win ...you could loose. There are no guarantees.

If you have "bought" an item that has not been made yet, you are effectively investing that money and could loose it.

So the idea is, by all means, support this kind of funding but decide how much you are prepared to loose before setting the amount you are willing to pay.

"Ya pay yer dollar and ya take yer chances"

That's true if you're a true "investor" with some gain from a success (other than a product you could later buy off the shelf as a sure thing). People advancing money for uncertain deliveries aren't really "investors". Investors may have many failed efforts but a success can pay them back for those failures. When advancing money to someone who may or may not deliver, you have no hope of actually recouping that investment if the venture fails.

 

[DesignFlaw06]

I read a review that said the Skully helmet was actually quite well made and the display was not as obtrusive as the reviewer assumed it would be.

The problem with Skully going under is that it sets the technology back so far. This stuff had a lot of potential. I think the real winner would be a universal solution that could be applied to other helmets (I thought someone else was doing that). I've jumped on 5 Kickstarters. Still waiting on one of them which was promised September 2015. The others weren't even close to being on time either. The 3D printer was well over a year past when it was promised. It's a gamble and you have to know that going in.

But I wouldn't take that big of a gamble.

 

[Mr_Canoehead]

The real question is (IMO): Where does the information for HUD come from? Garmin doesn't give you a data stream to use for navigation. You could use a USB dongle for the OBD port but that is only useful for bikes with an OBD-II port (ie not the FJR).

Without a supply of information, HUD is pretty useless.

I was reading how people who used the crowdfunding site are upset about not getting a helmet or their money back - when you crowd-fund, legally you are an investor and the product that you get is incidental to the investment. So, that means you don't get your money back if the company never produces a product.

 

[ShawnKing2]

I can't say that I did not expect this. They were WAY overpriced.

Agreed. There were so many strikes against this product (unproven tech, unproven company, sketchy funding model, over priced, etc, etc) I said from the beginning this was destined to fail.

 

[Doug36854]

https://www.facebook.com/damon.sorrells.7/videos/1741867986093242/

 

[Bounce]

not available.

posting links to a subscription site is fraught with problems for non-subscribers.

 

[Uncle Hud]

Was pretty sure I didn't want a Skully anyway. Music, a GPS screen, and the occasional phone call already distract me from driving the bike.

 

[russperry]

And the Elio will probably not be far behind Skully...
https://eliogenuine.eliomotors.com/?sctp=ppc&scvn=google&scsrc=google_search&sckw=elio&gclid=CM256KromM4CFQsIaQodWPcOQg

I've never seen or heard of this one before, and it does seem like a bit of a stretch. The thing i do like is that the "reservation" is only $100, or less than 2% of the expected price tag. Compare that to Skully where you had to put up 100% of the purchase price in advance.

For $100 you can gamble that this thing will see the light of day and you'll have a chance to be an early adopter. If it goes wrong, you're out the equivalent of a couple of double iced lattes at Starbucks.

 

[jwilly]

https://www.businessinsider.com/lawsuit-claims-skully-founders-spent-money-on-strip-club-rent-2016-8

 

[HyperPete]

Oh, wow!

The lawsuit goes on to list 19 examples of the reportedly false expenses, including:

• Rent for a personal apartment in the Marina district of San Francisco, then the subsequent moving and painting expenses when they moved to the Dogpatch
• Restaurant meals and personal groceries charged to the company AMEX card
• A payout of $80,000 to an unnamed cofounder, which was recorded as a trip to China
• A $13,000 Mai Tai and Extreme Tech Challenge in Las Vegas
• A Lamborghini rental during a personal vacation
• A "world tour" trip that included $2,000 for limos in Florida, $2,000 for a strip club, and $2,345 worth of paintings from Hawaii.

A notice on the company's Indiegogo page now alerts those customers who preordered the $1,450 helmet that they'll have to go through bankruptcy court to try to reclaim any money.