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Ubuntu Edge crowdfunding drive misses target | Ubuntu Edge crowdfunding drive misses target |
(5 months later) | |
The 30-day crowdfunding campaign to raise $32m (£20.5m) for the Ubuntu Edge smartphone has failed. | The 30-day crowdfunding campaign to raise $32m (£20.5m) for the Ubuntu Edge smartphone has failed. |
Developer Canonical raised almost $13m from 27,488 funders, surpassing the previous crowdfunding record of more than $10m set by Pebble smartwatches' Kickstarter campaign. | Developer Canonical raised almost $13m from 27,488 funders, surpassing the previous crowdfunding record of more than $10m set by Pebble smartwatches' Kickstarter campaign. |
It had wanted to manufacture 40,000 handsets with its free operating system for qualifying backers by next May. | It had wanted to manufacture 40,000 handsets with its free operating system for qualifying backers by next May. |
But all pledges will now be returned after it failed to reach its target. | But all pledges will now be returned after it failed to reach its target. |
"We realised that it is very difficult to crowdfund for both the development and the production costs together," Canonical founder Mark Shuttleworth told the BBC. | "We realised that it is very difficult to crowdfund for both the development and the production costs together," Canonical founder Mark Shuttleworth told the BBC. |
"That's why the costs have escalated here. That's a new insight," he added. | "That's why the costs have escalated here. That's a new insight," he added. |
Mr Shuttleworth said that in a future campaign Canonical would "try to find a different source for the development costs and have that secured" before launching a crowdfunding campaign to manufacture the handsets. | Mr Shuttleworth said that in a future campaign Canonical would "try to find a different source for the development costs and have that secured" before launching a crowdfunding campaign to manufacture the handsets. |
Chose 'fixed funding' | Chose 'fixed funding' |
Programs on the proposed smartphone would have looked like standard mobile apps when the handset was being used as a standalone device. | Programs on the proposed smartphone would have looked like standard mobile apps when the handset was being used as a standalone device. |
But they would have changed their user interfaces to that of a desktop application when the phone was docked with a monitor, Canonical had said. | But they would have changed their user interfaces to that of a desktop application when the phone was docked with a monitor, Canonical had said. |
In addition, the operating system could support apps written in the HTML5 web language, albeit at slower speeds. | In addition, the operating system could support apps written in the HTML5 web language, albeit at slower speeds. |
The Ubuntu Edge campaign raised nearly $3.4m in the first 24 hours. | The Ubuntu Edge campaign raised nearly $3.4m in the first 24 hours. |
But the pace of fundraising slowed after that. | But the pace of fundraising slowed after that. |
The campaign had offered the first 5,000 backers the chance to buy one of the new smartphones for $600. After that, contributors would have had to pay $830 for their smartphone. | The campaign had offered the first 5,000 backers the chance to buy one of the new smartphones for $600. After that, contributors would have had to pay $830 for their smartphone. |
Later in the campaign, Canonical reportedly introduced additional pricing tiers - of $625, $675, $695 and $725. | Later in the campaign, Canonical reportedly introduced additional pricing tiers - of $625, $675, $695 and $725. |
In an interview with the BBC last week, Canonical founder Mark Shuttleworth said many lessons had been learned over the course of the campaign, and he would rethink the strategy of offering a discounted price to early funders. | In an interview with the BBC last week, Canonical founder Mark Shuttleworth said many lessons had been learned over the course of the campaign, and he would rethink the strategy of offering a discounted price to early funders. |
Canonical chose to use Indiegogo's "fixed funding" campaign, under the terms of which all the money pledged must be returned if the campaign does not reach its funding goal. | Canonical chose to use Indiegogo's "fixed funding" campaign, under the terms of which all the money pledged must be returned if the campaign does not reach its funding goal. |
The company could have selected a "flexible funding" campaign and kept most of the funds, after paying a higher percentage to Indiegogo for missing the target. | The company could have selected a "flexible funding" campaign and kept most of the funds, after paying a higher percentage to Indiegogo for missing the target. |
Canonical planned to make money by charging for support and training for Ubuntu and taking a share of online sales from handset makers who adopted its software. | Canonical planned to make money by charging for support and training for Ubuntu and taking a share of online sales from handset makers who adopted its software. |
Indiegogo's current funding record of $1,665,380 was set by Scanadu Scout - a scheme to build a Star Trek-style Tricorder medical scanning device. | |
Other independent fundraising campaigns have attracted larger sums, such as Cloud Imperium Games, which has gathered more than $15m by soliciting contributions directly on its website. It raised more than $2m in a separate campaign on Kickstarter. | Other independent fundraising campaigns have attracted larger sums, such as Cloud Imperium Games, which has gathered more than $15m by soliciting contributions directly on its website. It raised more than $2m in a separate campaign on Kickstarter. |