> I'm really turned off by this model of 'pay us in advance for developing a product that hasn't been market tested or validated'
Isn't that the whole premise behind a huge chunk of the projects on indiegogo and Kickstarter? "I want to make a cool thing, but I can't afford to quit my day job; please pay me up front"?
I mean, I'm truly concerned about online privacy, but there are several barriers standing between me and my solution--not the least of which is the ability to eat and shield myself from the elements while crafting said solution. How is what these folks are asking any different from pitching a business plan to a VC? Sure, if you're going to a VC it's expected you'll actually have a business plan, but the function is the same: Convince people with resources that what you're doing is worthwhile and achievable, so they'll give their resources to you.
Except with VC, the money is given with the expectation of an occasional huge return. With a crowd-funded open source project, one there is no possibility of getting anything more than a program you could get for free if others funded its development. This is clearly a very different situation.
But as a crowdfunder, I know that going in. Donation levels are clearly marked with what returns, if any, I can expect if the project is successful. "Worthwhile" to a VC means "big financial returns"; "worthwhile" to a crowdfunder means "this cool thing gets made". It's exactly the same concept; how it works out in practice is just mechanics.
Isn't that the whole premise behind a huge chunk of the projects on indiegogo and Kickstarter? "I want to make a cool thing, but I can't afford to quit my day job; please pay me up front"?
I mean, I'm truly concerned about online privacy, but there are several barriers standing between me and my solution--not the least of which is the ability to eat and shield myself from the elements while crafting said solution. How is what these folks are asking any different from pitching a business plan to a VC? Sure, if you're going to a VC it's expected you'll actually have a business plan, but the function is the same: Convince people with resources that what you're doing is worthwhile and achievable, so they'll give their resources to you.