Things keep getting worse motorcycle helmet startup Skully, as its production partner Flextronics has filed suit for money and materials allegedly owed it. According to court documents, Flextronics is demanding payment of roughly $2 million dollars – $505,703 in past-due bills, $514,409 in unpaid bills, and another $1.5 million in what Flextronics calls “materials and inventory related to the Skully project.” This lawsuit is the second legal action taken against Skully since the company laid off its workforce and shut its doors for lack of funding. In the first lawsuit, a former employee alleges her wrongful termination from the Skully, but also lists a number of instances where the company and its management team wasted company money on frivolous items.
Future Skully AR-1 owners will have to continue waiting for their helmets, as Skully has once again pushed back the delivery date of its heads-up display powered helmet.
The announcement is another blow for the San Francisco based startup, as Skully has gone from the media darling to full-blown vaporware-pusher over the past two years.
We say this because Skully first launched in 2013, with promises of helmets in the hands of consumers by the end of 2014. That date was then pushed back to May 2015, in conjunction with Skully’s Kickstarter campaign launch. That date would be revised again, this time to the end of the year 2015.
Now well into the fourth month of 2016, Skully is pushing back its delivery date again, though it isn’t giving a firm timeline when the production units will finally reach purchasers. It should be noted that as of this date, only a handful of pre-production units have made it the hands of specially chosen
Most Asphalt & Rubber readers are aware of Skully, the San Francisco startup that is making a helmet with an integrated heads-up-display (HUD), and many A&R readers are also aware that Skully is now officially late in delivering its maiden product to the masses.
Finally acknowledging the tardiness to its 2,000 or so early-adopting customers, Skully has released a video (after the jump) explaining its activities, and that the company is on-track for its new delivery date, before the end of the year – or as they say in marketing speak: just in time for Christmas.
Of course we knew back in late-2013, when Skully first announced its helmet, that there was no way the company was going to hit its delivery promise for 2014, though now the company seems in good stead for its new 2015 promise, with an actual office in SF, a deal with Flextronics to make the augmented reality portion of the helmet, and manufacturing tooled-up.
It’s hard to make strategic business partnership announcements sound sexy. Between all the hyperbole about how two companies are going to shift the industry paradigm and synergize the supply chain matrix, the average consumer’s eyes glaze over, and drool starts seeping out from the corners of their mouths. So bear with us on this one, because the announcement (or is the term Brammouncement?) of Brammo and Flextronics is an important one not only for the Ashland based company, but also for the electric motorcycle industry as a whole.
Some of the biggest problems facing any startup in the motorcycle industry are distribution and assembly. With the demand for electric motorcycles being a global issue, electric motorcycle startups, which are based primarily in the United States, have to not only grow their businesses domestically, but perhaps more importantly they need to foster a presence abroad in foreign markets.
With Europe and Asia easily out-pacing the demand in the US for electric transportation, an issue of contention for cash-strapped startups like Brammo has been how to grow globally and effectively with their limited budgets. The solution in this case for Brammo, is partnering with Flextronics, and using their scalable global production facilities.