Apple Closes Kickstarter Project Forcing Entrepreneurs to Pay $11,000 / €8,330

Jamie Siminoff says “it’s an awful [thing] on the consumer side”

By on December 21st, 2012 13:40 GMT

Jamie Siminoff and Edison Junior are out 11 large ones after Apple told them they could not sell an iDevice accessory that bundles other connectivity standards with its new Lightning plug.

Siminoff tells the sad story over at Kickstarter where the duo’s POP accessory – a multi-device portable charger – raised $139,170, only to have the money refunded to every single backer, as a result of Apple’s decision.

“When Apple officially announced the move to Lightning we determined the best course of action was to incorporate two Lightning chargers, and two 30-pins (along with the four micro-USB’s),” writes Siminoff.

“After applying to Apple (which is now required for Lightning), we learned that they are no longer willing to approve a product that uses the Lightning charger alongside any other charger (including their own 30-pin – seriously),” he explains.

Siminoff adds, “Just like that, POP could no longer fulfill its true promise.”

Since Kickstarter doesn’t provide refunding tools, Siminoff and Edison Junior are now faced with having to refund the cash to everyone themselves, in what has been confirmed as the biggest Kickstarter refund ever recorded.

This means the two entrepreneurs not only have to absorb credit card fees (3% for every transaction), but also Kickstarter fees (5%) for a bottom line of $11,000 (roughly €8,330).

In other words, they not only made $0 off the POP, they actually incurred a penalty for attempting to offer it to the world.

“Today we asked Kickstarter for the 5% fee they collected based on the circumstances, however regardless of their decision YOU WILL RECEIVE 100% OF YOUR MONEY BACK,” Siminoff writes.

Siminoff says he is disappointed with Apple’s decision, telling Wired, “Personally I think it’s an awful [thing] on the consumer side. I understand why they make some of their harsh decisions, but limiting where the charger can be, I don’t get it,” he says.
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