Kickstarter
{{short description|US-based crowdfunding platform}}
{{about|the crowdfunding site|the motor kickstarter|kick start|and|starter (engine)|other uses|Kickstart (disambiguation)}}
{{Infobox website
| name = Kickstarter, PBC
| logo = Kickstarter logo 2019.svg
| collapsible = yes
| collapsetext = Screenshot
| screenshot = Kickstarter screenshot.jpg
| location_city = Brooklyn, New York City, U.S.
| industry = Financial services
Internet
| founder = Perry Chen
Yancey Strickler
Charles Adler
| CEO = Everette Taylor
| url = {{URL|https://www.kickstarter.com/about}}
| website_type = Crowdfunding
| launch_date = {{start date and age|2009|4|28}}
| net_income = $1.3 million after tax (2019){{ r | :0 | p=1 | q=Hasan said in the April 20th memo that Kickstarter brought in $1.27 million in after-tax profit last year, which has been reinvested back into the business. }}
| company_type = Delaware-registered public-benefit corporation
| employees = 140 (before May 2020 40% staff reduction){{ r | :0 | p=1 | q=Kickstarter United, the union that represents 60 percent of the company’s 140 employees,... }}
}}
Kickstarter, PBC is an American public benefit corporation{{cite news |url=https://www.nytimes.com/2015/09/21/technology/kickstarters-altruistic-vision-profits-as-the-means-not-the-mission.html |title=Kickstarter Focuses Its Mission on Altruism Over Profit |last=Isaac |first=Mike |date=September 21, 2015 |work=The New York Times }} based in Brooklyn, New York City, that maintains a global crowdfunding platform focused on creativity.{{cite news |title= Kickstarter crowdfunding site officially launches in Canada |url=http://www.cbc.ca/news/business/kickstarter-crowdfunding-site-officially-launches-in-canada-1.1703774 |access-date=14 October 2013 |newspaper=The Canadian Press |date=10 September 2013}} The company's stated mission is to "help bring creative projects to life".{{cite news |url=http://allthingsd.com/20130509/kickstarter-we-dont-have-anything-against-celebrity-projects-cc-zach-braff/ |title=Kickstarter: We Don't Have Anything Against Celebrity Projects |work=All Things D |last=Gannes |first=Liz |date=May 29, 2010 }} As of April 2025, Kickstarter has received US$8.71 billion in pledges from 24.1 million backers to fund 277,302 projects, such as films, music, stage shows, comics, journalism, video games, board games, technology, publishing, and food-related projects.{{cite web |url=https://www.kickstarter.com/help/stats |title=Kickstarter Official Stats |publisher=Kickstarter |access-date=23 July 2021}}
People who back Kickstarter projects are offered tangible rewards or experiences in exchange for their pledges.{{cite news |url=https://www.nytimes.com/2011/08/07/magazine/the-trivialities-and-transcendence-of-kickstarter.html?_r=1&pagewanted=all |title=The Trivialities and Transcendence of Kickstarter |last=Walker |first=Rob |date=5 August 2011 |work=The New York Times Magazine }} This model traces its roots to subscription model of arts patronage, in which artists would go directly to their audiences to fund their work.{{cite news |url=https://www.theatlantic.com/technology/archive/2013/06/kickstarters-of-yore-mozart-lady-liberty-alexander-pope/277389/ |title=Kickstarters of Yore: Mozart, Lady Liberty, Alexander Pope |work=The Atlantic |last=Garber |first=Megan |date=29 June 2013 }}
History
File:NYAP visits Kickstarter (9457966193).jpg
Kickstarter launched on April 28, 2009,{{cite news |url=https://techcrunch.com/2009/04/29/kickstarter-launches-another-social-fundraising-platform/ |title= Kickstarter Launches Another Social Fundraising Platform |date=April 29, 2009 |last=Wauters |first=Robin }} by Perry Chen, Yancey Strickler, and Charles Adler. The New York Times called Kickstarter "the people's NEA".{{cite news|url=https://www.nytimes.com/2011/08/07/magazine/the-trivialities-and-transcendence-of-kickstarter.html?pagewanted=all|title=The Trivialities and Transcendence of Kickstarter|last=Walker|first=Rob|date=August 5, 2011|work=The New York Times|access-date=June 20, 2012}} Time named it one of the "Best Inventions of 2010"{{cite news|url=http://www.time.com/time/specials/packages/article/0,28804,2029497_2030652_2029823,00.html|archive-url=https://web.archive.org/web/20101114081032/http://www.time.com/time/specials/packages/article/0,28804,2029497_2030652_2029823,00.html|url-status=dead|archive-date=November 14, 2010|title=The 50 Best Inventions of 2010|last=Snyder|first=Steven James|date=November 11, 2010|magazine=TIME|access-date=June 20, 2012}} and "Best Websites of 2011".{{cite news|url=http://www.time.com/time/specials/packages/article/0,28804,2087815_2088176_2088182,00.html|archive-url=https://web.archive.org/web/20110923161823/http://www.time.com/time/specials/packages/article/0,28804,2087815_2088176_2088182,00.html|url-status=dead|archive-date=September 23, 2011|title=The 50 Best Websites of 2011|last=McCracken|first=Harry|date=August 16, 2011|magazine=TIME|access-date=June 20, 2012}} Kickstarter reportedly raised $10 million funding from backers including NYC-based venture firm Union Square Ventures and angel investors such as Jack Dorsey, Zach Klein and Caterina Fake.{{cite web|last=Kafka|first=Peter|title=Kickstarter Fesses Up: The Crowdsourced Funding Start-Up Has Funding, Too|url=http://allthingsd.com/20110317/kickstarter-fesses-up-the-crowd-sourced-funding-startup-has-funding-too/|work=All Things D|publisher=Dow Jones & Company Inc.|access-date=February 7, 2012}} The company was based at 58 Kent Street in Greenpoint, Brooklyn until they transitioned to a fully remote workforce after the COVID-19 pandemic.{{cite web |last1=Anderson |first1=Nicole |title=Kickstarter Headquarters |work=The Architect's Newspaper |date=2015-05-26 |url=https://archpaper.com/2015/05/kickstarter-headquarters/ |access-date=2018-04-07 |df=mdy-all }}{{Cite magazine |last=Delaney |first=Kevin J. |date=March 27, 2022 |title=As Kickstarter Launches a 4-Day Workweek, Its CEO Steps Down |url=https://time.com/6161220/kickstarter-ceo-aziz-hasan-four-day-workweek/ |magazine=Time}}
On February 14, 2013, Kickstarter released an iOS app called Kickstarter for the iPhone.{{cite web|url=https://apps.apple.com/gb/app/kickstarter/id596961532|access-date=February 15, 2013|title=Kickstarter for iPhone for iPhone 3GS, iPhone 4, iPhone 4S, iPhone 5, iPod touch (3rd generation), iPod touch (4th generation), iPod touch (5th generation) and iPad on the iTunes App Store|website=iTunes}} The app was aimed at users who create and back projects and was the first time Kickstarter had an official mobile presence.{{cite news|url=https://www.theguardian.com/technology/appsblog/2013/feb/14/kickstarter-iphone-app|title=Kickstarter? There's now an official iPhone app for that|last=Dredge|first=Stuart|date=January 14, 2013|work=The Guardian|access-date=February 15, 2013}}
File:Editing at Kickstarter 2017-03 jeh.jpg
On October 31, 2012, Kickstarter opened projects based in the United Kingdom,{{cite web | url=http://www.kickstarter.com/blog/kickstarter-in-the-uk-0| title=Kickstarter in the UK » The Kickstarter Blog — Kickstarter| newspaper=Kickstarter.com|author1=Perry Chen |author2=Yancey Strickler |author3=Charles Adler | date=31 October 2012| access-date=2013-09-18}} followed by projects based in Canada on September 9, 2013,{{Citation | title=Kickstarter in Canada! » The Kickstarter Blog — Kickstarter| newspaper=Kickstarter.com| date= September 9, 2013| url=http://www.kickstarter.com/blog/kickstarter-in-canada-0| access-date=2013-09-18}} Australia and New Zealand on November 13, 2013,{{cite web |last=Starr |first=Michelle |title=Kickstarter officially opens in Australia and New Zealand |url=http://www.cnet.com.au/kickstarter-officially-opens-in-australia-and-new-zealand-339345665.htm |url-status=dead |archive-url=https://web.archive.org/web/20170729143830/https://www.cnet.com/au/news/kickstarter-officially-opens-in-australia-and-new-zealand/ |archive-date=July 29, 2017 |access-date=July 4, 2022 |website=CNET}} the Netherlands on April 28, 2014, Denmark, Ireland, Norway, and Sweden on September 15, 2014,{{cite web|last=Woods|first=Ben|title=Kickstarter opens up to projects from Denmark, Norway, Sweden and Ireland|date=15 September 2014|url=https://thenextweb.com/eu/2014/09/15/kickstarter-opens-projects-denmark-norway-sweden-ireland/}} Germany on April 28, 2015, France and Spain on May 19, 2015,{{cite web|last=Cortes|first=Iker|title=Kickstarter llega a España|date=19 May 2015|url=http://www.elcorreo.com/bizkaia/tecnologia/internet/201505/19/kickstarter-llega-espana-20150519120857-rc.html|publisher=EL CORREO}} Austria, Belgium, Italy, Luxembourg and Switzerland on June 16, 2015, Singapore and Hong Kong on August 30, 2016,{{cite web|url=http://mashable.com/2016/08/30/kickstarter-comes-to-asia/|title=Kickstarter opens in Asia, starting in Hong Kong and Singapore|last=Ho|first=Victoria|website=Mashable|date=31 August 2016|access-date=2017-04-18}} Mexico on November 15, 2016, and Japan on September 12, 2017. In July 2017, Strickler announced his resignation.{{cite web|url=https://techcrunch.com/2017/07/27/kickstarter-co-founder-and-ceo-yancey-strickler-will-step-down-this-year/|title=Kickstarter co-founder and CEO Yancey Strickler will step down this year|last=Dickey|first=Megan Rose|website=Techcrunch|date=27 July 2017 |access-date=2017-07-27}}
On April 20, 2020, Kickstarter announced that it was likely going to lay off workers due to the coronavirus pandemic causing the number of active projects to be "about 35% below what it was at this time last year with no clear sign of rebound."{{cite web|url=https://www.theverge.com/2020/4/20/21228412/kickstarter-layoffs-planned-coronavirus-project-declines-crowdfunding-union|title=Kickstarter plans layoffs after new projects on the site drop off by 35 percent|last=Carman|first=Ashley|date=2020-04-20|website=The Verge|language=en|url-status=live|archive-url=https://web.archive.org/web/20200420185022/https://www.theverge.com/2020/4/20/21228412/kickstarter-layoffs-planned-coronavirus-project-declines-crowdfunding-union|archive-date=2020-04-20|access-date=2020-04-21}} The layoff was reported by the union to affect up to 45% of the employees, although Kickstarter has yet to report the scale of the layoff as of May 2, 2020. The union negotiated a settlement for laid off employees including four months of severance pay and up to six months of continued health benefits for anyone who gets laid off, recall rights for a year (so that those laid off can return to job openings), and a release from noncompete agreements for those who accept severance pay.{{cite web|title=Kickstarter union reaches agreement with management for laid-off workers|url=https://www.theverge.com/2020/5/2/21245092/kickstarter-union-agreement-laid-off-workers|last=Lyons|first=Kim|date=2020-05-02|website=The Verge|language=en|url-status=live|archive-url=https://web.archive.org/web/20200502191639/https://www.theverge.com/2020/5/2/21245092/kickstarter-union-agreement-laid-off-workers|archive-date=2020-05-02|access-date=2020-05-03|quote=Kickstarter United, the union that represents 60 percent of the company’s 140 employees, said the agreement includes four months of severance pay for all laid-off employees, a release from any non-compete agreements for anyone who accepts severance, and recall rights for one year. The company will continue healthcare coverage for any laid-off employees for up to six months, depending on salary.}}
In December 2021, Kickstarter announced they would be moving their platform to blockchain, with the aim of making the tools required for creating a crowdfunding site available to anyone.{{cite web|url=https://techcrunch.com/2021/12/08/kickstarter-plans-to-move-its-crowdfunding-platform-to-the-blockchain/ |title=Kickstarter plans to move its crowdfunding platform to the blockchain – TechCrunch |publisher=Techcrunch.com |date=2021-01-15 |accessdate=2022-03-13}} The pivot came on the back of a $100 million investment from the crypto fund of Andreessen Horowitz. The decision backfired, alienated many users, damaging Kickstarter's reputation.{{cite web | last1=Schwartz | first1=Leo | last2=Mathews | first2=Jessica | title=The untold story of Kickstarter's crypto Hail Mary—and the secret $100 million a16z-led investment to save its fading brand | website=Fortune | date=2024-03-11 | url=https://fortune.com/crypto/2024/03/11/kickstarter-blockchain-a16z-crypto-secret-investment-chris-dixon/ | access-date=2024-05-13}}
Model
Kickstarter is one of a number of crowdfunding platforms for gathering money from the public, which circumvents traditional avenues of investment.{{cite news |url=https://www.nytimes.com/2010/03/18/arts/artsspecial/18CROWD.html |title=Small Donations in Large Numbers, With Online Help |last=Villano |first=Matt |date=March 14, 2010 |work=The New York Times }}{{cite news | url=http://www.technologyreview.com/web/26945/?a=f | title=Start me up | access-date=January 20, 2011 | author=Gould, Emily | publisher=MIT | newspaper=Technology Review | archive-date=January 17, 2011 | archive-url=https://web.archive.org/web/20110117162350/http://www.technologyreview.com/web/26945/?a=f | url-status=dead }} Project creators choose a deadline and a minimum funding goal. If the goal is not met by the deadline, no funds are collected (a kind of assurance contract).{{cite news |url=https://www.washingtonpost.com/wp-dyn/content/article/2010/03/06/AR2010030602077.html |title=At Play: Kickstarter is a Web site for the starving artist |date=March 7, 2010 |newspaper=The Washington Post |last=Musgrove |first=Mike}}
The Kickstarter platform is open to backers from anywhere in the world and to creators from Australia, Austria, Belgium, Canada, Denmark, France, Germany, Greece, Hong Kong, Ireland, Italy, Japan, Luxembourg, Mexico, the Netherlands, New Zealand, Norway, Poland, Singapore, Slovenia, Spain, Sweden, Switzerland, the United Kingdom, and the United States.{{Cite news | url=https://techcrunch.com/2013/06/27/kickstarter-allowing-canada-based-projects-beginning-this-summer/ | title=Kickstarter Allowing Canada-Based Projects Beginning This Summer | first=Darrell | last=Etherington | work=TechCrunch | date=June 27, 2013}}{{cite news | url=https://leaders.com/articles/entrepreneurship/kickstarter/ | title=How Does Kickstarter Work? | first=Hannah L. | last=Miller | work=Leaders Media | date=November 18, 2021}}
Kickstarter applies a 5% fee on the total amount of the funds raised.{{cite web|url=https://www.kickstarter.com/help/search?utf8=✓&term=amazon |title=Creators – Frequently Asked Questions (FAQ) |publisher=Kickstarter.com |access-date=July 13, 2012}} Its payments processor applies an additional 3–5% fee.{{cite web|url=https://www.kickstarter.com/help/fees |title=Creators – Frequently Asked Questions (FAQ) |publisher=Kickstarter.com |access-date=February 13, 2015}} Unlike many forums for fundraising or investment, Kickstarter claims no ownership over the projects and the work they produce. The web pages of projects launched on the site are permanently archived and accessible to the public. After funding is completed, projects and uploaded media cannot be edited or removed from the site.{{cite web|url=http://www.kickstarter.com/help/faq#CanAProjBeDele|title=Help Center — Kickstarter|work=kickstarter.com}}
There is no guarantee that people who post projects on Kickstarter will deliver on their projects, use the money to implement their projects, or that the completed projects will meet backers' expectations. Kickstarter advises backers to use their judgment on supporting a project. They also warn project leaders that they could be liable for legal damages from backers for failure to deliver on promises.{{cite web |url=http://www.kickstarter.com/help/faq?ref=footer#piIAmUnabToCompMyProjAsListWhatShouIDo |title=Kickstarter FAQ If I am unable to complete my project as listed, what should I do? |work=kickstarter.com}} Projects might also fail even after a successful fundraising campaign when creators underestimate the total costs required or technical difficulties to be overcome.{{cite web|url=http://www.betabeat.com/2012/03/15/jellyfish-tanks-funded-54-times-over-on-kickstarter-turn-out-to-be-jellyfish-death-traps/|title=Adrianne Jeffries, "Jellyfish Tanks, Funded 54 Times Over on Kickstarter, Turn Out to Be Jellyfish Death Traps UPDATED", BetaBeat, March 15, 2012|date=15 March 2012|work=Betabeat|access-date=9 October 2014}}{{cite web|url=http://148apps.biz/kickstarter-pros-and-cons/|title=Kevin Stout, "Kickstarter, Pros and Cons", 148Apps.biz, April 23, 2012|access-date=9 October 2014}}
When asked what made Kickstarter different from other crowdfunding platforms, co-founder Perry Chen said: "I wonder if people really know what the definition of crowdfunding is. Or, if there's even an agreed upon definition of what it is. We haven't actively supported the use of the term because it can provoke more confusion. In our case, we focus on a middle ground between patronage and commerce. People are offering cool stuff and experiences in exchange for the support of their ideas. People are creating these mini-economies around their project ideas. So, you aren't coming to the site to get something for nothing; you are trying to create value for the people who support you. We focus on creative projects—music, film, technology, art, design, food and publishing—and within the category of crowdfunding of the arts, we are probably ten times the size of all the others combined."{{cite web|last1=Davison |first1=Hallie |title=THE Q&A: PERRY CHEN, KICKSTARTER |url=http://moreintelligentlife.com/blog/qa-perry-chen-kickstarter |website=More Intelligent Life |publisher=The Economist |access-date=28 May 2015 |url-status=dead |archive-url=https://web.archive.org/web/20150528181618/http://moreintelligentlife.com/blog/qa-perry-chen-kickstarter |archive-date=28 May 2015 }}
=Projects=
On June 21, 2012, Kickstarter began publishing statistics on its projects.{{cite web|last=Strickler|first=Yancey|title=Kickstarter Stats|date=21 June 2012 |url=http://www.kickstarter.com/blog/kickstarter-stats}} As of December 4, 2019, there were 469,286 launched projects (3,524 in progress),{{cite web|url=https://www.kickstarter.com/help/stats|title=Kickstarter Stats|access-date=December 4, 2019}} with a success rate of 37.45% (success rate being how many were successfully funded by reaching their set goal).{{Clarify|date=February 2015|comment=successfully funded or successful projects?}} The total amount pledged was $4,690,286,673.{{cite web|url=http://www.kickstarter.com/help/stats|title=Kickstarter Stats|publisher=Kickstarter|access-date=December 4, 2019}}
The business grew quickly in its early years. In 2010 Kickstarter had 3,910 successful projects and $27,638,318 pledged. The corresponding figures for 2011 were 11,836 successfully funded projects and $99,344,381 pledged; and there were 18,109 successfully funded projects, $610,352 pledged in 2012."[https://www.kickstarter.com/blog/2011-the-stats 2011: The Stats]", February 11, 2015, Kickstarter.com, accessed February 11, 2015.
On February 9, 2012, Kickstarter hit a number of milestones. A dock made for the iPhone designed by Casey Hopkins became the first Kickstarter project to exceed one million dollars in pledges. A few hours later, a new adventure game project started by computer game developers, Double Fine Productions, reached the same figure, having been launched less than 24 hours earlier, and finished with over $3 million pledged.[http://www.joystiq.com/2012/03/13/double-fine-kickstarter-hits-3-million-drive-closing-on-ustream/ "Double Fine Kickstarter hits 3 million, drive closing on Ustream"], Joystiq, March 13, 2012, Retrieved March 13, 2012. This was also the first time Kickstarter raised over a million dollars in pledges in a single day.Carl Franzen "[http://idealab.talkingpointsmemo.com/2012/02/kickstarters-double-million-dollar-day.php?ref=fpnewsfeed Crowd-Funding Website Kickstarter Has Double Million Dollar Day] {{webarchive|url=https://web.archive.org/web/20120214040452/http://idealab.talkingpointsmemo.com/2012/02/kickstarters-double-million-dollar-day.php?ref=fpnewsfeed |date=2012-02-14 }}", TPM, February 10, 2012, Retrieved February 11, 2012 On August 30, 2014, the "Coolest Cooler", an icebox created by Ryan Grepper, became the most funded Kickstarter project in history, with US$13.28 million in funding, breaking the record previously held by the Pebble smartwatch.{{cite web|last1=Bogart|first1=Nicole|title='Coolest Cooler' beats Pebble to become top Kickstarter project|url=http://globalnews.ca/news/1532204/coolest-cooler-beats-pebble-to-become-top-kickstarter-project/|website=Global News}}
From 2012 to 2013, Wharton professor Ethan Mollick and Jeanne Pi conducted research into what contributes to a project's success or failure on Kickstarter. Some key findings from the analysis were that increasing goal size is negatively associated successfully, projects that are featured on the Kickstarter homepage have an 89% chance of being successful, compared to 30% without, and that for an average $10,000 project, a 30-day project has a 35% chance of success, while a 60-day project has a 29% chance of success, all other things being constant.{{cite journal |last1=Mollick |first1=Ethan R. |title=The Dynamics of Crowdfunding: An Exploratory Study |journal=Journal of Business Venturing |date=June 26, 2013 |volume=29 |issue=1 |pages=1–16 |doi=10.2139/ssrn.2088298 |ssrn=2088298 |s2cid=53612446 }}
The ten largest Kickstarter projects by funds raised are listed below. Among successful projects, most raise between $1,000 and $9,999. These dollar amounts drop to less than half in the Design, Games, and Technology categories. However, the median amount raised for the latter two categories remains in the four-figure range. There is substantial variation in the success rate of projects falling under different categories. Over two thirds of completed dance projects have been successful. In contrast, fewer than 30% of completed fashion projects have reached their goal. Most failing projects fail to achieve 20% of their goals and this trend applies across all categories. Indeed, over 80% of projects that pass the 20% mark reach their goal.
=Categories=
Creators categorize their projects into one of 13 categories and 36 subcategories.{{cite web|url=http://www.kickstarter.com/discover |title=Discover – Kickstarter |publisher=Kickstarter.com |access-date= June 20, 2012}} They are: Art, Comics, Dance, Design, Fashion, Film and Video, Food, Games, Music, Photography, Publishing, Technology and Theater. Of these categories, Film & Video and Music are the largest categories and have raised the most money. These categories, along with Games, account for over half the money raised. Video games and tabletop games alone account for more than $2 out of every $10 spent on Kickstarter.{{cite web|date=November 13, 2013 |title=What Is Kickstarter For? Video Games. |url=http://blog.airbriteinc.com/post/66886152025/what-is-kickstarter-for-video-games |work=Airbrite |url-status=dead |archive-url=https://web.archive.org/web/20140104033939/http://blog.airbriteinc.com/post/66886152025/what-is-kickstarter-for-video-games |archive-date=January 4, 2014 }}
=Guidelines=
To maintain its focus as a funding platform for creative projects, Kickstarter has outlined three guidelines for all project creators to follow: creators can fund projects only; projects must fit within one of the site's 13 creative categories; and creators must abide by the site's prohibited uses, which include charity and awareness campaigns. Kickstarter has additional requirements for hardware and product design projects. These include{{cite web|url=http://www.crowdsourcing.org/editorial/kickstarter-bans-project-renderings-adds-risks-and-challenges-section-/19431 |title=Eric Blattberg, "Kickstarter Bans Project Renderings, Adds 'Risks and Challenges' Section, Crowdsourcing.org 21 September 2012 |work=www.crowdsourcing.org |access-date=9 October 2014 |url-status=usurped |archive-url=https://web.archive.org/web/20141017130707/http://www.crowdsourcing.org/editorial/kickstarter-bans-project-renderings-adds-risks-and-challenges-section-/19431 |archive-date=17 October 2014 }}{{cite web|url=http://go.bloomberg.com/tech-deals/2012-09-06-after-raising-money-on-kickstarter-side-project-lands-another-3-million/|title=Mark Milian, "After Raising Money on Kickstarter, Side Project Lands Another $3 million", Bloomberg Tech Deals, 6 September 2012|access-date=9 October 2014}}
- Banning the use of photorealistic renderings and simulations demonstrating a product
- Banning projects for genetically modified organisms.{{cite web|url=http://seattletimes.com/html/nationworld/2021975205_plantglowxml.html |title=Cha, Ariana Eunjung, "Glowing plants spark environmental debate" The Seattle Times 5 October 2013. |work=The Seattle Times |access-date=9 October 2014 |url-status=dead |archive-url=https://web.archive.org/web/20141020143254/http://seattletimes.com/html/nationworld/2021975205_plantglowxml.html |archive-date=20 October 2014 }}
- Limiting awards to single items or a "sensible set" of items relevant to the project (e.g., multiple light bulbs for a house)
- Requiring a physical prototype
- Requiring a manufacturing plan
The guidelines are designed to reinforce Kickstarter's position that people are backing projects, not placing orders for a product. To underscore the notion that Kickstarter is a place in which creators and audiences make things together, creators across all categories are asked to describe the risks and challenges a project faces in producing it. This educates the public about the project goals and encourages contributions to the community.{{cite web|url=https://www.kickstarter.com/blog/kickstarter-is-not-a-store|title=Kickstarter Is Not a Store|website=Kickstarter|date=20 September 2012 }}
Notable projects and creators
File:Pebble Time front.jpg is the second-largest successful Kickstarter campaign.]]
Several creative works have gone on to receive critical acclaim and accolades after being funded on Kickstarter. Others, such as the Ouya console, have resulted in commercial failure.{{cite web|url=http://www.extremetech.com/gaming/189089-the-stillborn-revolution-ouya-fails-to-sell-developer-seeks-buyout|title=The stillborn revolution: Ouya fails to sell, developer seeks buyout - ExtremeTech|date=2 September 2014}} The documentary short "Sun Come Up" and documentary short "Incident in New Baghdad" were each nominated for an Academy Award;{{cite news |url=https://www.npr.org/2011/02/26/134083564/The-Love-Story-Behind-Oscar-Nominee-Sun-Come-Up |title=The Love Story Behind Oscar Nominee Sun Come Up |author= |date=February 26, 2011 |work=NPR }}{{cite news |url=https://www.washingtonpost.com/lifestyle/style/what-happened-in-iraq/2012/02/17/gIQA08oCSR_story.html |title=Incident in New Baghdad: What Happened in Iraq? |last=Montgomery |first=David |date=February 21, 2012 |newspaper=The Washington Post }} contemporary art projects "EyeWriter" and "Hip-Hop Word Count" were both chosen to exhibit in the Museum of Modern Art in 2011;{{cite web|url=http://www.moma.org/interactives/exhibitions/2011/talktome/objects/ |title=Talk to Me – MoMA |publisher=MoMA.org |access-date=July 2, 2012}} filmmaker Matt Porterfield was selected to screen his film Putty Hill at the Whitney Biennial In 2012;{{cite web |url=http://whitney.org/Exhibitions/2012Biennial/MattPorterfield |title=Matt Porterfield |publisher=whitney.org |access-date=July 2, 2012 |url-status=dead |archive-url=https://web.archive.org/web/20120618184055/http://whitney.org/Exhibitions/2012Biennial/MattPorterfield |archive-date=June 18, 2012 }} author Rob Walker's Hypothetical Futures project exhibited at the 13th International Venice Architecture Biennale;{{cite news |url=http://6thfloor.blogs.nytimes.com/2012/05/15/real-designs-for-fake-buildings-are-going-to-venice/ |title=Real Designs For Fake Buildings Are Going to Venice |last=Titunik |first=Vera |date=May 15, 2012 |work=The New York Times |url-status=dead |archive-url=https://web.archive.org/web/20120621060314/http://6thfloor.blogs.nytimes.com/2012/05/15/real-designs-for-fake-buildings-are-going-to-venice/ |archive-date=June 21, 2012 }} musician Amanda Palmer's album Theatre is Evil debuted at No. 10 on the Billboard 200;{{cite news |url=http://www.billboard.com/articles/news/475029/dave-matthews-band-debuts-at-no-1-on-billboard-200 |title=Dave Matthews Band Debuts at No. 1 on Billboard 200 |last=Caulfield |first=Keith |date=September 19, 2012 |magazine=Billboard }} designer Scott Wilson won a National Design Award from Smithsonian's Cooper-Hewitt, National Design Museum following the success of his TikTok + LunaTik project;{{cite web|url=http://www.cooperhewitt.org/national-design-awards#about |title=National Design Awards |publisher=CooperHewitt.org |access-date=July 2, 2012}} the Kickstarter funded GoldieBlox toy gained nationwide distribution in 2013;{{cite web | url=https://techcrunch.com/2013/07/02/goldieblox-toys-r-us-engineering-toy-for-girls/ | title=GoldieBlox, The Toy That Aims To Get Girls Hooked On Engineering, Is Coming To A Toys 'R' Us Near You | publisher=TechCrunch | date=2 July 2013 | access-date=3 July 2013 | author=Taylor, Colleen}} and approximately 10% of the films accepted into the Sundance, SXSW and Tribeca Film Festivals are projects funded on Kickstarter.{{cite news |url=http://mediadecoder.blogs.nytimes.com/2012/01/30/at-sundance-kickstarter-resembled-a-movie-studio-but-without-the-egos/ |title=At Sundance, Kickstarter Resembled a Movie Studio, but Without the Egos |last=Carr |first=David |date=January 30, 2012 |work=The New York Times }}{{cite news |url=https://www.wired.com/underwire/2012/03/getting-to-sxsw-kickstarter/ |title=When SXSW Money Crunch Hits, Kickstarter Comes to the Rescue |last=Watercutter |first=Angela |date=March 9, 2012 |magazine=Wired }}
The Glowing Plant project was the first and only synthetic biology campaign on Kickstarter.{{cite web|url=https://www.businessinsider.com/glowing-plant-kickstarter-campaign-orbella-moss-2017-8|title=One of the most controversial Kickstarter campaigns in history is dead — here's the product that actually got made|last=Schwartz|first=Ariel|website=Business Insider|access-date=2019-10-24}}
The Oculus Rift began as a 2012 Kickstarter project and became one of the most funded projects at the time. The company was then acquired by Facebook two years later for $2 billion.{{cite web|url=https://www.engadget.com/2014-03-28-oculus-rift-from-2-4-million-kickstarter-to-2-billion-sale.html|title=Oculus Rift: From $2.4 million Kickstarter to $2 billion sale|date=28 March 2014 }} Peloton Interactive sold its first exercise bike on Kickstarter in 2013 with an early bird price tag of $1,500. It became a public company in 2019 via an initial public offering raising $1.1 billion.{{Cite news |title=Peloton founder goes from Kickstarter to a $450 million fortune |publisher=Bloomberg News |via=The Detroit News |url=https://www.detroitnews.com/story/business/2019/09/16/peloton-founder-goes-kickstarter-millionaire/40144205/ |date=September 15, 2019 |last1=Metcalf |first1=Tom |last2=Verhage |first2=Julie}} Cards Against Humanity originated with a $4,000 Kickstarter campaign in 2010.{{Cite web |last=Souppouris |first=Aaron |date=May 18, 2013 |title=How the $4,000 'Cards Against Humanity' Kickstarter became a multi-million dollar business |url=https://www.theverge.com/2013/5/18/4342828/how-the-4000-cards-against-humanity-kickstarter-became-a-multi |website=The Verge}}{{Cite news |last1=Basak |first1=Sonali |last2=Porter |first2=Kiel |date=July 27, 2021 |title=Cards Against Humanity Is Exploring a Possible Sale |url=https://www.bloomberg.com/news/articles/2021-07-27/cards-against-humanity-is-said-to-explore-sale-via-moelis |publisher=Bloomberg News}}
===Top projects by funds raised===
{{see also|List of highest-funded crowdfunding projects}}
class="wikitable sortable"
|+Ten largest successfully completed Kickstarter projects by total funds pledged (only closed fundings are listed){{cite web |url=https://www.kickstarter.com/discover/advanced?sort=most_funded |title=Discover >> Most Funded - Kickstarter |publisher=kickstarter.com |date=31 March 2022}} | |||||||
Rank | Total USD | Project name | Creator | Category | % funded | Backers | Closing date |
---|---|---|---|---|---|---|---|
style="text-align:center;"| 1 | style="text-align:right; padding-right:8px;"| 41,754,153 | Surprise! Four Secret Novels by Brandon Sanderson | Dragonsteel Entertainment | Publishing | style="text-align:right;" | 4,175 | style="text-align:right;" | 185,341 | style="text-align:center;"| 31 March 2022 |
style="text-align:center;"| 2 | style="text-align:right; padding-right:8px;"| 20,338,986 | Pebble Time – Awesome Smartwatch, No Compromises{{cite web|url=https://www.kickstarter.com/projects/597507018/pebble-time-awesome-smartwatch-no-compromises|title=Pebble Time - Awesome Smartwatch, No Compromises|work=Kickstarter|access-date=9 September 2016}} | Pebble Technology | Product design | style="text-align:right;" | 4,067 | style="text-align:right;" | 78,471 | style="text-align:center;"| 27 March 2015 |
style="text-align:center;"| 3 | style="text-align:right; padding-right:8px;"| 15,149,874 | Brandon Sanderson's Cosmere RPG | Brotherwise Games | Tabletop games | style="text-align:right;" | 6,060 | style="text-align:right;" | 55,106 | style="text-align:center;"| 30 August 2024 |
style="text-align:center;"| 4 | style="text-align:right; padding-right:8px;"| 13,285,226 | Coolest Cooler: 21st Century Cooler that's Actually Cooler{{cite web|url=https://www.kickstarter.com/projects/ryangrepper/coolest-cooler-21st-century-cooler-thats-actually|title=COOLEST COOLER: 21st Century Cooler that's Actually Cooler|work=Kickstarter|access-date=9 October 2014}} | Ryan Grepper | Product design | style="text-align:right;" | 26,570 | style="text-align:right;" | 62,642 | style="text-align:center;"| 30 August 2014 |
style="text-align:center;"| 5 | style="text-align:right; padding-right:8px;"| 12,969,608 | Frosthaven{{cite web|url=https://www.kickstarter.com/projects/frosthaven/frosthaven|title=Frosthaven|work=Kickstarter|access-date=7 May 2020}} | Cephalofair Games | Tabletop games | style="text-align:right;" | 2,594 | style="text-align:right;" | 83,193 | style="text-align:center;"| 1 May 2020 |
style="text-align:center;"| 6 | style="text-align:right; padding-right:8px;"| 12,779,843 | Pebble 2, Time 2 + All-New Pebble Core{{cite web|url=https://www.kickstarter.com/projects/597507018/pebble-2-time-2-and-core-an-entirely-new-3g-ultra|title=Pebble 2, Time 2 + All-New Pebble Core|work=Kickstarter|access-date=30 June 2016}} | Pebble Technology | Product design | style="text-align:right;" | 1,277 | style="text-align:right;" | 66,673 | style="text-align:center;"| 30 June 2016 |
style="text-align:center;"| 7 | style="text-align:right; padding-right:8px;"| 12,393,139 | Kingdom Death: Monster 1.5{{cite web| url = https://www.kickstarter.com/projects/poots/kingdom-death-monster-15/description | title = Kingdom Death: Monster 1.5 | work = Kickstarer | access-date = 7 January 2017 }} | Kingdom Death/Adam Poots | Tabletop games | style="text-align:right;" | 12,393 | style="text-align:right;" | 19,264 | style="text-align:center;"| 7 January 2017 |
style="text-align:center;"| 8 | style="text-align:right; padding-right:8px;"| 12,179,651 | EcoFlow DELTA Pro: The Portable Home Battery | EcoFlow | Hardware | style="text-align:right;" | 12,180 | style="text-align:right;" | 3,199 | style="text-align:center;"| 13 September 2021 |
style="text-align:center;"| 9 | style="text-align:right; padding-right:8px;"| 12,143,435 | Travel Tripod by Peak Design{{cite web|url=https://www.kickstarter.com/projects/peak-design/travel-tripod-by-peak-design| title = Travel Tripod by Peak Design | work = Kickstarter | access-date = 29 December 2019}} | Peak Design | Product design | style="text-align:right;" | 2,429 | style="text-align:right;" | 27,168 | style="text-align:center;"| 13 December 2019 |
style="text-align:center;"| 10 | style="text-align:right; padding-right:8px;"| 11,385,449 | Critical Role: The Legend of Vox Machina Animated Special{{cite web|url=https://www.kickstarter.com/projects/criticalrole/critical-role-the-legend-of-vox-machina-animated-s/description| title = Critical Role: The Legend of Vox Machina Animated Special | work = Kickstarter | access-date = 19 April 2019 }}{{cite web|last=Whitten|first=Sarah|date=2019-04-19|title='Dungeons and Dragons' Kickstarter breaks record with $11.3 million campaign|url=https://www.cnbc.com/2019/04/19/critical-role-vox-machina-kickstarter-ends-with-11-million-in-funding.html|access-date=2021-05-04|website=CNBC|language=en}} | Critical Role Productions | Film | style="text-align:right;" | 1,518 | style="text-align:right;" | 88,887 | style="text-align:center;"| 19 April 2019 |
class="wikitable sortable"
|+Top projects by number of backers | ||||||
Rank | Backers | Project name | Creator | Category | Total USD | Closing date |
---|---|---|---|---|---|---|
style="text-align:center;" | 1 | style="text-align:right;" |219,382 | Exploding Kittens
| Tabletop games | style="text-align:right; padding-right:8px;" |8,782,571
| style="text-align:center;" |20 February 2015 | |||
style="text-align:center;" | 2 | style="text-align:right;" |185,341
| Surprise! Four Secret Novels by Brandon Sanderson | Dragonsteel Entertainment
| Publishing | style="text-align:right; padding-right:8px;" |41,754,153
| style="text-align:center;" |31 March 2022 | |||
style="text-align:center;" | 3 | style="text-align:right;" |154,926 | Matthew and Mark McLachlan
| Product design | style="text-align:right; padding-right:8px;" |6,465,690
| style="text-align:center;" |20 October 2016 | |||
style="text-align:center;" | 4 | style="text-align:right;" |105,857
|Bring Reading Rainbow Back for Every Child, Everywhere! |LeVar Burton & Reading Rainbow | Web | style="text-align:right; padding-right:8px;" |5,408,916
| style="text-align:center;" |3 July 2014 | ||||
style="text-align:center;" | 5 | style="text-align:right;" |91,585
|The Veronica Mars Movie Project | Film | style="text-align:right; padding-right:8px;" |5,702,153
| style="text-align:center;" |13 April 2013 | ||||
style="text-align:center;" | 6 | style="text-align:right;" |88,887 | Critical Role Productions | Film | style="text-align:right; padding-right:8px;" | 11,385,449 | style="text-align:center;" |19 April 2019 | |
style="text-align:center;" | 7 | style="text-align:right;" |87,142 | Double Fine and 2 Player Productions
| Film/video games | style="text-align:right; padding-right:8px;" |3,336,371
| style="text-align:center;" |14 March 2012 | |||
style="text-align:center;" | 8 | style="text-align:right;" | 85,581 | Bears vs Babies - A Card Game
|Exploding Kittens | Tabletop games | style="text-align:right; padding-right:8px;" |3,215,679
| style="text-align:center;" |18 November 2016 | |||
style="text-align:center;"| 9 | style="text-align:right;" | 83,193 | Frosthaven
| Cephalofair Games | Tabletop games | style="text-align:right;" | 12,969,608 | style="text-align:center;"|1 May 2020 | ||||
style="text-align:center;" | 10 | style="text-align:right;" | 81,567 | Avatar Legends: The Roleplaying Game
| Magpie Games | Tabletop games | style="text-align:right;" | 9,535,317 | style="text-align:center;" |2 September 2021 |
=Project cancellations=
{{see also|Vaporware}}
Both Kickstarter and project creators have cancelled projects that appeared to have been fraudulent. Questions were raised about the projects in internet communities related to the fields of the projects. The concerns raised were: apparent copying of graphics from other sources; unrealistic performance or price claims; and failure of project sponsors to deliver on prior Kickstarter projects.
Some notable cancelled projects include:
- Eye3 camera drone helicopter for unrealistic performance promises, photos copied from other commercial products, and failure of creators to deliver on an earlier Kickstarter project.{{cite web|url=https://spectrum.ieee.org/update-eye3-drone-officially-too-good-to-be-true|title=Evan Ackerman "Update:Eye3 Drone Officially Too Good to be True", IEEE Spectrum January 31, 2012.|date=31 January 2012|access-date=9 October 2014}}
- Mythic: The Story of Gods and Men adventure game for copying graphics from other games and unrealistic performance promises; the creator had raised $4,739 on an $80,000 goal before canceling the project.{{cite web |url=http://betabeat.com/2012/04/this-is-what-a-kickstarter-scam-looks-like/ |author=Adrianne Jeffries |title=This Is What a Kickstarter Scam Looks Like |work=Betabeat}}
- Tech-Sync Power System for failing to provide photos of the prototype and sudden departure of project creator.{{cite web|url=http://www.betabeat.com/2011/09/15/when-kickstarter-goes-wrong-were-419-backers-almost-taken-for-a-27637-ride/|title=Adrian Jeffries, "When Kickstarter Goes Wrong: Were 419 Backers Almost Taken for a $27,637 Ride?", BetaBeat, September 15, 2011.|date=15 September 2011|work=Betabeat|access-date=9 October 2014}}
- Tentacle Bento, a card game intended to satirize Japanese school girl tentacle rape comics, after being criticized in the online media for having inappropriate content.{{cite web|url=http://kotaku.com/5911214/creator-of-satirical-tentacle+rape-game-apologizes|title=Creator of 'Satirical' Tentacle-Rape Game Apologizes|author=Kirk Hamilton|publisher=Gawker Media|work=Kotaku|date=17 May 2012 }}
- Kobe Red, a project for jerky made from Kobe beef, was canceled after raising $120,309. The project was allegedly fraudulent.{{cite web|url=https://money.cnn.com/2013/06/17/technology/kickstarter-scam-kobe-jerky/index.html|title=Pepitone, Julianne, "Kickstarter pulls plug on scam minutes before $120,000 heist", CNN Money, 17 June 2013|date=17 June 2013|work=CNNMoney|access-date=9 October 2014}}
- iFind claimed to be a battery-free item locating tag. Critics of the project raised serious doubts about its viability, focusing on its claimed EM harvesting capability and the lack of a working prototype. Kickstarter suspended funding after $546,852 had been raised.{{cite web|url=https://www.theregister.co.uk/2014/06/27/ifind_kickstarter_cancelled/|title=Lester Haines "Kickstarter unplugs iFind miracle battery-free locator", The Register June 27, 2014.|website=The Register|access-date=9 October 2014}}
- The Skarp Laser Razor was cancelled in 2015 by Kickstarter. It had raised $4 million in pledges, but was cancelled after Kickstarter claimed that Skarp had failed to demonstrate a working prototype.Vincent, James. (13 October 2015). "[https://www.theverge.com/2015/10/13/9518163/laser-razor-kickstarter-banned-indiegogo $4 million laser razor campaign banned from Kickstarter is already on Indiegogo]", The Verge. Retrieved 11 September 2018.
- The CR-1 desktop CNC by Coast Runner Industries was cancelled in February 2024 after raising over $500,000.{{cite web| last= Mensley|first= Matthew |publisher= All3DP.com |date= March 1, 2024| url=https://all3dp.com/4/coast-runner-kickstarter-campaign-terminated-relaunches-on-indiegogo/|title=Coast Runner Kickstarter Campaign Terminated, Relaunches on IndieGoGo| access-date= 2024-12-22}} The company responded by suing Kickstarter for violating federal antirust law.
Controversies
=Projects=
Many individual Kickstarter projects caused controversy:
- In May 2011, a New York University film student, Matias Shimada, raised $1,726 to make a film, but plagiarized another film. He later apologized to the public.{{cite news|url=http://nyulocal.com/on-campus/2011/05/09/nyu-tisch-student-makes-plagiarized-film-to-win-festival-prize-after-raising-1700-on-kickstarter/|title=NYU Tisch Student Makes Plagiarized Film To Win Festival Prize After Raising $1,700 On Kickstarter · NYU Local|last=Tanzer|first=Myles|date=May 9, 2011|work=NYU Local|access-date=June 23, 2011}}{{cite web|url=https://gizmodo.com/5800006/nyu-film-student-fraud-plagiarizes-his-way-to-kickstarter-fame|title=NYU Film Student Plagiarizes His Way to Kickstarter Fame|author=Sam Biddle|work=Gizmodo|date=9 May 2011 }}
- In 2012, Amanda Palmer raised $1.2 million on Kickstarter. She was criticized for asking to have musicians play with her for free on tour, after raising such a large sum.{{cite magazine|url=http://www.newyorker.com/online/blogs/culture/2012/10/amanda-palmers-kickstarter-scandal.html|title=The Amanda Palmer Kickstarter Scandal|last=Clover|first=Joshua|magazine=The New Yorker|access-date=2013-06-03}}
- In April 2013, filmmaker Zach Braff used Kickstarter to fund his film Wish I Was Here and raised $2 million in three days, citing the success of Rob Thomas' Veronica Mars Kickstarter as his inspiration. Braff received criticism for using the site, saying his celebrity status would draw attention from other creatives who lack celebrity recognition,{{cite news|url=http://www.grantland.com/blog/hollywood-prospectus/post/_/id/75256/thanks-to-kickstarter-zach-braff-finally-has-millions-of-dollars/|title=Thanks to Kickstarter, Zach Braff Finally Has Millions of Dollars|author=Amos Barshad}} the same kind of criticism regarding big figures in the gaming industry using Kickstarter. (One example is Richard Garriott, who created a successful $1+ million Kickstarter despite his personal fortune.){{cite web|url=http://www.escapistmagazine.com/news/view/122635-Richard-Garriott-Explains-Why-He-Needs-a-1-Million-Kickstarter|title=The Escapist : News : Richard Garriott Explains Why He Needs a $1 Million Kickstarter|date=2013-03-12|publisher=Escapistmagazine.com|author=Steven Bogos|access-date=2013-06-03|archive-date=2020-02-03|archive-url=https://web.archive.org/web/20200203153041/http://www.escapistmagazine.com/news/view/122635-Richard-Garriott-Explains-Why-He-Needs-a-1-Million-Kickstarter|url-status=dead}} Kickstarter disputed these arguments by claiming, according to their metrics, big name projects attract new visitors, who in turn pledge to lesser-known projects.{{cite web|url=http://www.kickstarter.com/blog/blockbuster-effects|title=Blockbuster Effects » The Kickstarter Blog — Kickstarter|date=2012-03-29|publisher=Kickstarter.com|author=· 35 comments|access-date=2013-06-03}}{{cite web|url=http://www.kickstarter.com/blog/who-is-kickstarter-for|title=Who is Kickstarter for? » The Kickstarter Blog — Kickstarter|date=2013-05-09|publisher=Kickstarter.com|author=Best Inventions of 2010|access-date=2013-06-03}}
- In June 2013, there was controversy over the book Above the Game, a guidebook on seducing women. Outlets pointed out that the advice in the book seemed to encourage sexual assault.{{cite web|last1=Dunn|first1=Gaby|title=Reddit pick-up artist issues mea culpa after Kickstarter controversy|url=https://www.dailydot.com/business/hoinsky-above-the-game-apology/|website=Daily Dot|date=24 June 2013|access-date=17 September 2017}}{{cite web|last1=Baker|first1=Katie J.M|title=Redditor's PUA Kickstarter Project Recommends Sexual Assault|url=http://jezebel.com/redditors-pua-kickstarter-project-recommends-sexual-as-514264056|website=Jezebel|date=19 June 2013 |access-date=17 September 2017}}{{cite web|last1=Dredge|first1=Stuart|title=Kickstarter bans 'seduction guides' after Above The Game controversy|url=https://www.theguardian.com/technology/2013/jun/21/kickstarter-above-the-game-ban|website=Guardian|date=21 June 2013|access-date=17 September 2017}} Although Kickstarter received a significant alert, they failed to pull the project. The site eventually wrote a letter of apology and placed a blanket ban on "Seduction guides".{{cite web|last1=Ha|first1=Anthony|title=Kickstarter Says It Was Wrong About 'Above The Game' Campaign, Bans Future 'Seduction Guides'|url=https://techcrunch.com/2013/06/21/kickstarter-seduction-guides/|website=Techcrunch|date=21 June 2013 |access-date=17 September 2017}}
- On November 6, 2013, writer/director Hal Hartley launched a Kickstarter campaign to produce his upcoming film Ned Rifle, seeking a total of $384,000.{{cite web|url=http://www.kickstarter.com/projects/260302407/ned-rifle|title=NED RIFLE by Hal Hartley|publisher=Kickstarter|access-date=April 30, 2014}} On November 25, Hartley added a $9,000 reward tier offering the film's distribution rights for seven years in the United States and other countries, making his Kickstarter campaign the first to propose offering film distribution rights.{{cite news|url=http://www.indiewire.com/article/hal-hartley-explains-why-he-is-offering-distribution-rights-to-ned-rifle-as-kickstarter-backer-reward|title=Hal Hartley Explains Why He is Offering Distribution Rights to 'Ned Rifle' as Kickstarter Backer Reward|last=Bernstein|first=Paula|date=November 25, 2013|publisher=Indiewire|access-date=April 30, 2014}} Subsequently, Kickstarter notified Hartley selling distribution rights is a form of investment, which is forbidden by Kickstarter's terms and conditions, forcing Hartley to remove the option.{{cite news|url=https://variety.com/2013/film/news/indie-helmer-hal-hartley-sells-distribution-rights-as-kickstarter-reward-1200884677/|title=Updated: Hal Hartley Can't Offer Distribution Rights as Kickstarter Reward|last=Saperstein|first=Pat|date=November 25, 2013|work=Variety|access-date=April 30, 2014}}
- In May 2014, Kickstarter blocked fundraising for a film about late-term abortion provider Kermit Gosnell. Producer Phelim McAleer claimed Kickstarter censored the project because of its graphic content and espousing a "liberal agenda".{{cite web|url=http://www.hollywoodreporter.com/news/filmmaker-accuses-kickstarter-censoring-gosnell-700566|title=Filmmaker Accuses Kickstarter of Censoring 'Gosnell' Abortion Movie|last=Bond|first=Paul|work=The Hollywood Reporter|date=May 2014|access-date=February 13, 2017}} In June 2014, the project received approval for fundraising from rival site Indiegogo, raising more than $2.3 million.{{cite web|url=https://www.indiegogo.com/projects/gosnell-movie|title=Gosnell Movie|publisher=Indiegogo|access-date=February 13, 2017}}
=Patent disputes=
- On September 30, 2011, Kickstarter filed a declaratory judgment suit against ArtistShare in an attempt to invalidate U.S. crowd-funding patent US 7885887, "Methods and apparatuses for financing and marketing a creative work".{{cite web|url=http://www.americanlawyer.com/digestTAL.jsp?id=1202588722943&ArtistShare_Cant_Show_Kickstarter_Infringes_CrowdFunding_Patent&slreturn=20130407191903|title=Jan Wolfe, "ArtistShare Can't Show Kickstarter Infringes Crowd-Funding Patent" The AM Law Litigation Daily, 19 February 2013.|author=Jan Wolfe|date=19 February 2013|work=Litigation Daily|access-date=9 October 2014}} Kickstarter asked that the patent be invalidated, or, at the very least, that the court find that Kickstarter is not liable for infringement.{{cite web |url=http://www.pcworld.com/article/241160/kickstarter_faces_patent_suit_over_funding_idea.html |title=Kickstarter Faces Patent Suit Over Funding Idea |author=Sarah Jacobsson Purewal |date=October 5, 2011 |publisher=PCWorld |access-date=October 6, 2011}} In February 2012, ArtistShare and Fan Funded responded to Kickstarter's complaint by filing a motion to dismiss the lawsuit. They asserted that patent infringement litigation was never threatened, that "ArtistShare merely approached Kickstarter about licensing their platform, including patent rights", and that "rather than responding to ArtistShare's request for a counter-proposal, Kickstarter filed this lawsuit."{{cite web |url=http://www.hollywoodreporter.com/thr-esq/hollywood-docket-comedy-club-documentary-michael-jordan-291872 |title=Hollywood Docket: Comedy Club Documentary Lawsuit; Michael Jordan vs. 1st Amendment |author=Eriq Gardner |date=February 16, 2012 |work=The Hollywood Reporter |access-date=March 23, 2012}} The judge ruled that the case could go forward. ArtistShare then responded by filing a counterclaim alleging that Kickstarter was indeed infringing its patent.{{cite web |url=http://observer.com/2012/05/kickstarter-artistshare-fan-funded-patent-lawsuit/ |title=Kickstarter Wins Small Victory in Patent Lawsuit With 2000-Era Crowdfunding Site |last1=Jeffries |first1=Adrianne |date=14 May 2012 |work=BetaBeat |publisher=The New York Observer |access-date=17 May 2012}} In June 2015, Kickstarter won its lawsuit, with the judge declaring ArtistShare's patent invalid.{{cite web|url=http://www.crowdfundinsider.com/2015/06/70398-kickstarter-wins-patent-lawsuit-against-artistshare/|title=Kickstarter Wins Crowdfunding Patent Lawsuit Against ArtistShare|work=Crowdfund Insider|date=29 June 2015}}
- On November 21, 2012, 3D Systems filed a patent infringement lawsuit against Formlabs and Kickstarter for infringing its 3D printer patent US 5597520, "Simultaneous multiple-layer curing in stereolithography." Formlabs had raised $2.9 million in a Kickstarter campaign to fund its own competitive printer.{{cite magazine|url=https://www.wired.com/design/2012/11/3d-systems-formlabs-lawsuit/#|title=Joseph Flaherty, "3D Systems Sues Formlabs and Kickstarter for Patent Infringement" Wired, 21 November 2012|magazine=WIRED|access-date=9 October 2014}} The company said that Kickstarter caused "irreparable injury and damage" to its business by promoting the Form 1 printer, and taking a 5% cut of pledged funds.{{cite web | url=http://www.huffingtonpost.co.uk/2012/11/22/kickstarter-sued-formlabs-3d-printer_n_2174936.html | title="Kickstarter Sued: Formlabs 3D Printer Accused Of Patent Breach" Huffington Post, 21 November 2012|date=22 November 2012|work=The Huffington Post UK|access-date=9 October 2014}} A six-month stay was granted by the judge for settlement talks in which Kickstarter did not participate.{{cite web|url=http://www.sparpointgroup.com/news/3d-systems-gets-6-month-stay-for-settlement-talks-over-patent-lawsuit|title=3D Systems gets 6-month stay for settlement talks over patent lawsuit|access-date=2015-01-30|archive-date=2015-02-12|archive-url=https://web.archive.org/web/20150212130425/http://www.sparpointgroup.com/news/3d-systems-gets-6-month-stay-for-settlement-talks-over-patent-lawsuit|url-status=dead}}
- On January 23, 2015, Alphacap Ventures LLC filed a patent infringement lawsuit against multiple crowdfunding platforms, including Indiegogo, CircleUp, GoFundMe, Kickstarter, Gust, RocketHub & Innovational Funding, for three patents — US 7848976, US 7908208 and US 8433630.{{cite web|url=https://www.crowdfundinsider.com/2015/01/61834-details-emerge-on-patent-lawsuit-against-multiple-crowdfunding-plaforms-revealed/|title=Details Emerge on Patent Lawsuit Against Multiple Crowdfunding Platforms|date=2015-01-29|website=Crowdfund Insider|language=en-US|access-date=2019-05-14}} According to Bloomberg, Alphacap Ventures provides strategic, operations, and financial advisory services in the United States along with other financial services.{{cite web|url=https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=29016544|title=Details Emerge on Patent Lawsuit Against Multiple Crowdfunding Platforms|website=Bloomberg News|date=27 May 2023 }} Elsewhere, Alphacap Ventures is described as a patent troll.{{cite web|url=https://venturebeat.com/2015/02/10/patent-troll-targets-crowdfunding-startups-innovation-act-could-stop-that/|title=Patent troll targets crowdfunding startups — Innovation Act could stop that|date=2015-02-11|website=VentureBeat|language=en-US|access-date=2019-05-14}}{{cite web|url=https://www.eff.org/alice/alice-decision-saves-crowdfunding-patent-troll|title=Alice Decision Saves Crowdfunding From Patent Troll|date=2017-10-05|website=Electronic Frontier Foundation|language=en|access-date=2019-05-14}}
=Monopolistic practices=
In December 2024, Coast Runner Industries sued Kickstarter for violations of federal antitrust law in response to the suspension of its desktop CNC campaign.{{cite web| last= Scarcella|first= Mike |publisher= Reuters |date= December 10, 2024| url=https://www.reuters.com/legal/litigation/gun-rights-activist-sues-kickstarter-indiegogo-over-alleged-funding-boycott-2024-12-10/|title=Gun rights activist sues Kickstarter, Indiegogo over alleged funding boycott| access-date= 2024-12-22}}
=Data breach=
In February 2014, Kickstarter announced a data breach of almost 5.2 million users' data, including email addresses, usernames and salted SHA-1 hashes of passwords.{{cite web|url=https://www.cnet.com/news/privacy/kickstarter-hacked-user-data-stolen/|title=Kickstarter hacked, user data stolen|publisher=CNET|date=15 February 2014|access-date=24 January 2023}}
= Unionizing efforts =
On March 19, 2019, Kickstarter's staff announced plans to unionize as part of the Office and Professional Employees International Union (OPEIU), which would make Kickstarter the only major tech company to have a union.{{cite web|url=https://www.theverge.com/2019/3/19/18254995/kickstarter-unionizing-union-representation-inclusivity-transparency-tech-us-crowdfunding|title=Kickstarter's staff is unionizing|last=Stephen|first=Bijan|date=2019-03-19|website=The Verge|publisher=Vox Media|language=en|url-status=live|archive-url=https://web.archive.org/web/20190824051022/https://www.theverge.com/2019/3/19/18254995/kickstarter-unionizing-union-representation-inclusivity-transparency-tech-us-crowdfunding|archive-date=2019-08-24|access-date=2019-09-27}}{{cite web|url=https://spectrum.ieee.org/kickstarter-workers-kick-off-a-union-organizing-drive-npn-allegedly-fires-engineers-for-organizing-efforts|title=Kickstarter Workers Kick Off a Union Organizing Drive; NPM Allegedly Fires Engineers for Organizing Efforts|last=Perry|first=Tekla S.|date=2019-05-06|website=IEEE Spectrum|language=en|url-status=live|archive-url=https://web.archive.org/web/20190506204631/https://spectrum.ieee.org/view-from-the-valley/at-work/tech-careers/kickstarter-workers-kick-off-a-union-organizing-drive-npn-allegedly-fires-engineers-for-organizing-efforts|archive-date=2019-05-06|access-date=2019-09-27}} Shortly after the announcement, three senior staffers released a memo dissenting against the decision, claiming that it is too extreme and that it would be a "misappropriation of unions for use by privileged workers."{{cite web|url=https://gizmodo.com/leaked-memo-shows-kickstarter-senior-staffers-are-pushi-1833470597|title=Kickstarter Union Opposed by Senior Employees: Leaked Memo|last=Menegus|first=Bryan|date=2019-03-21|website=Gizmodo|url-status=live|archive-url=https://web.archive.org/web/20190915013651/https://gizmodo.com/leaked-memo-shows-kickstarter-senior-staffers-are-pushi-1833470597|archive-date=2019-09-15|access-date=2019-09-27}} According to Kickstarter employees, they wanted to found a union both for enabling collective bargaining for wages and for "giving employees more clout," allowing them to work for goals that they saw in their interest and the public's interest.{{Cite news|last=Covert|first=Bryce|date=2020-05-27|title=How Kickstarter Employees Formed a Union|language=en|magazine=Wired|url=https://www.wired.com/story/how-kickstarter-employees-formed-union/|url-status=live|access-date=2020-05-30|archive-url=https://web.archive.org/web/20200528201225/https://www.wired.com/story/how-kickstarter-employees-formed-union/|archive-date=2020-05-28|issn=1059-1028}}
In May, Aziz Hasan, then CEO of Kickstarter, announced that the company would require an election for the union rather than voluntarily recognizing it, saying that "our view is that we are better set up to be successful without the framework of a union."{{cite web|url=https://www.theverge.com/2019/5/15/18627052/kickstarter-union-nlrb-election|title=Kickstarter will not voluntarily recognize its employee union|last=Stephen|first=Bijan|date=2019-05-15|website=The Verge|language=en|url-status=live|archive-url=https://web.archive.org/web/20190915013651/https://www.theverge.com/2019/5/15/18627052/kickstarter-union-nlrb-election|archive-date=2019-09-15|access-date=2019-09-27}}
On September 16, the employees filed a complaint against Kickstarter with the National Labor Relations Board (NLRB) after two employees were terminated. According to the workers, they were fired for unionizing, although the company says it was for "performance issues."{{cite web|url=https://www.vice.com/en/article/workers-accuse-kickstarter-of-union-busting-in-federal-complaint/|title=Workers Accuse Kickstarter of Union-Busting in Federal Complaint|last=Gurley|first=Lauren Kaori|date=2019-09-18|website=Vice|language=en|url-status=live|archive-url=https://web.archive.org/web/20190922235251/https://www.vice.com/en_us/article/evjb47/workers-accuse-kickstarter-of-union-busting-in-federal-complaint|archive-date=2019-09-22|access-date=2019-09-27}}{{cite web|url=https://hub.packtpub.com/as-kickstarter-reels-in-the-aftermath-of-its-alleged-union-busting-move-is-the-tech-industry-at-a-tipping-point/|title=Kickstarter's union-busting triggers the need of unions in tech|last=Davis|first=Vincy|date=2019-09-18|website=Packt Hub|language=en-US|url-status=live|archive-url=https://web.archive.org/web/20190927160040/https://hub.packtpub.com/as-kickstarter-reels-in-the-aftermath-of-its-alleged-union-busting-move-is-the-tech-industry-at-a-tipping-point/|archive-date=2019-09-27|access-date=2019-09-27}} After these allegations, some Kickstarter creators have started a campaign against Kickstarter to let its employees unionize.{{cite web|url=https://www.huffpost.com/entry/kickstarters-union-progressives_n_5d7d4091e4b03b5fc884a476|title=Kickstarter's Union Opposition Puts Users In A Bind: 'It's Toxic Now'|last=Jamieson|first=Dave|date=2019-09-14|website=HuffPost|language=en|url-status=live|archive-url=https://web.archive.org/web/20190924200427/https://www.huffpost.com/entry/kickstarters-union-progressives_n_5d7d4091e4b03b5fc884a476|archive-date=2019-09-24|access-date=2019-09-27}}{{cite web|url=https://www.polygon.com/2019/9/16/20868406/kickstarter-union-firings-dispute-petition|title=Kickstarter under fire from creators over labor dispute|last=Hall|first=Charlie|date=2019-09-16|website=Polygon|language=en|url-status=live|archive-url=https://web.archive.org/web/20190918041931/https://www.polygon.com/2019/9/16/20868406/kickstarter-union-firings-dispute-petition|archive-date=2019-09-18|access-date=2019-09-27}}
On September 28, Kickstarter confirmed that it would not recognise the unionisation effort. In a statement addressed to project creators, the CEO stated that unionisation would turn workplace relations "inherently adversarial" and that it "doesn't reflect who we are as a company." Additionally, the CEO confirmed that Kickstarter stood by its decision to fire the two employees and would be pursuing legal action to fight their claims.{{cite journal|last1=Robinson |first1=Nathan J. |title=Kickstarter To Workers And Project Creators: Drop Dead |url=https://www.currentaffairs.org/news/2019/09/kickstarter-to-workers-and-project-creators-drop-dead |access-date=2019-09-29 |journal=Current Affairs |date=2019-09-28|language=en|url-status=live|archive-url=https://web.archive.org/web/20190929013825/https://www.currentaffairs.org/2019/09/kickstarter-to-workers-and-project-creators-drop-dead|archive-date=2019-09-29}} The statement immediately resulted in criticism and calls for boycotts from creators who had previously used the platform,{{cite web|url=https://www.forbes.com/sites/robwieland/2019/10/01/can-small-businesses-navigate-tabletop-industry-turbulence/#4b7f69882d95A|title=Can Small Businesses Navigate Tabletop Industry Turbulence?|last=Wieland|first=Rob|website=Forbes|date=1 October 2019|access-date=1 October 2019}} while writer Neil Gaiman tweeted that he would be unlikely to post support for or links to new Kickstarter campaigns "as long as they are anti-union."{{cite tweet|url=https://twitter.com/neilhimself/status/1178340757633150978|title=To clarify, I'm not calling for a boycott of @Kickstarter. I'm saying that, in good conscience, I'm very unlikely to post support for or links to Kickstarters here, as long as they are anti-union. That's a personal view.|author=Neil Gaiman|author-link=Neil Gaiman|user=neilhimself|number=1178340757633150978|date=29 September 2019|access-date=1 October 2019}}
Kickstarter employees continued to file complaints to the NLRB, which forced Kickstarter to allow its employees a formal vote on unionization. The vote was held on the morning of February 18, 2020, with 46 voting in favor of joining the OPEIU and 37 voting against.{{cite web |last1=Jamieson |first1=Dave |title=Kickstarter Workers Vote To Unionize |url=https://www.huffpost.com/entry/kickstarter-workers-vote-to-unionize_n_5e4c1c5bc5b65f25da501366 |website=HuffPost |access-date=18 February 2020 |language=en |date=18 February 2020}} The CEO at the time, Aziz Hasan, said after the vote, "We support and respect this decision, and we are proud of the fair and democratic process that got us here."{{cite web |url=https://www.polygon.com/2020/2/18/21142349/kickstarter-union-board-games-video-games |title=Kickstarter employees vote to unionize, relieving tension among game developers |first=Charlie |last=Hall |date=18 February 2020 |access-date=18 February 2020 |website=Polygon}} With this, the OPEIU will now work with the union effort, Kickstarter United, to bargain with Kickstarter management for a contract.{{cite web |last1=Perry |first1=Alex |title=Kickstarter employees vote to unionize in historic first for tech industry |url=https://mashable.com/article/kickstarter-union/ |website=Mashable |date=18 February 2020 |access-date=18 February 2020 |language=en}}
As of May 2, 2020, 60% of the workforce was part of the union.
= Blockchain =
On December 8, 2021, Kickstarter announced a plan to develop a decentralized protocol on blockchain platform Celo to build an open source and blockchain-based crowdfunding infrastructure and then move its own website to that system.{{cite news |last1=Davalos |first1=Jackie |title=Kickstarter Will Move Its Crowdfunding Platform to Blockchain |url=https://www.bloomberg.com/news/articles/2021-12-08/kickstarter-blockchain-will-combine-crowdfunding-with-crypto |website=Bloomberg |date=8 December 2021 |publisher=Bloomberg |access-date=17 December 2021}} The announcement prompted backlash from creators and backers on Twitter, many of whom pledged to abandon Kickstarter if the move went forward.{{cite web |last1=MacDonald |first1=Heidi |title=Kickstarter's switch to crypto platform alarms creators |url=https://www.comicsbeat.com/kickstarter-crypto-platform-alarms-creators/ |website=The Beat |publisher=Superlime Media LLC |access-date=17 December 2021 |date=9 December 2021}}{{cite web |last1=Morse |first1=Jack |title=Kickstarter said it's moving to the blockchain, and creators are pissed |url=https://mashable.com/article/kickstarter-protocol-blockchain-creator-reaction |website=Mashable |publisher=Mashable, Inc. |access-date=17 December 2021 |language=en |date=16 December 2021}} On December 15, a week later, Kickstarter responded to the controversy in a blog post that clarified the company's position but did not indicate a change of plans.
See also
References
{{reflist}}
External links
- {{Commons category-inline}}
- {{Official website|https://www.kickstarter.com/about}}
{{Crowdfunding platforms}}
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Category:Financial services companies established in 2009
Category:Companies based in Brooklyn
Category:Crowdfunding platforms of the United States
Category:Internet properties established in 2009
Category:2009 establishments in New York City