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Community Council | Posts: 4,920 | Thanked: 12,867 times | Joined on May 2012 @ Southerrn Finland
#5793
Originally Posted by pharmakon View Post
That wouldn't have worked in this case, because Jolla had a good reputation.

This was a scam, though. They used crowdfunding money to pay themselves, and hoped to find new investors to pay off the old "donators." When they couldn't make payroll, they reached out to the "donators" to encourage them to "donate" for a second or third of the product that they already couldn't afford to deliver. If that's not a scam, there's no such thing.

Of course, it's not uncommon behavior for startups - relying on new investors to pay off the old ones...
I agree on all what you say, except for the part "This was a scam, though" since this exactly was not a scam. A scam in my books is when somebody does not deliver because of malicious intent; all that could be done to save the project was done and people really put their best effort on it. Failure was due to external influences that coluld not be mitigated.