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> I suspect it was part of the click-through license for the app. [snip] > ...the click-through almost certainly had the correct legal language... The claim of

> I suspect it was part of the click-through license for the app. [snip] > ...the click-through almost certainly had the correct legal language... The claim of the original suit stated that it wasn't and didn't. And, after the original press coverage of our DEF CON talk, the company updated its policies to be more transparent about what it was doing. > You didn't have to use the app True, but the company specifically sold an "app-only" version (that had no physical remote control unit) and the original suit claimed that the company justified its premium price in part because it was app connected. > I also suspect the negative press and legal fees would be more than the profit they made on these vibrators. > If we assume $100 of profit on each on we're only talking roughly 40,000 units sold. From the article: "An estimated 300,000 people bought Bluetooth-enabled WeVibes..."

bsder 10y ago
> From the article: "An estimated 300,000 people bought Bluetooth-enabled WeVibes..." I find that hugely suspect. That would imply almost a $60-90 million business (those things are expensive for a vibrator). That's a bit off from the financials of "Standard Innovation" the parent corp.
- dangrossman 10y ago
  They retail through Amazon and other stores for $179 to $250ish. They sell to retailers through distributors, so you've got two levels of markup. If they're wholesaling for more like $50 and have been available since 2014, that's just $5M a year or so on SI's books. I wasn't able to find any financials for the company in a quick Google except this CNBC quote from 2013, before the We-Vibe 4 app-enabled product came out: > We-Vibe, which retails for $79-$170, has been one of those big hits. Over the past five years, the device has amassed cumulative sales of $100 million. And it's gaining momentum. In 2012, the company says, annual sales were 50 percent higher than the preceding year—and the company had revenues of $35 million. It expects those revenues to land between $45 million and $50 million this calendar year. http://www.cnbc.com/id/100828629 http://www.cnbc.com/id/100828629
  - bsder 10y ago
    Okay, I guess it really did sell that many cumulatively. $100 million in sales translates to about 300,000-500,000 units. So, the numbers would be consistent.

bsder 10y ago

> From the article: "An estimated 300,000 people bought Bluetooth-enabled WeVibes..." I find that hugely suspect. That would imply almost a $60-90 million business (those things are expensive for a vibrator). That's a bit off from the financials of "Standard Innovation" the parent corp.

dangrossman 10y ago
They retail through Amazon and other stores for $179 to $250ish. They sell to retailers through distributors, so you've got two levels of markup. If they're wholesaling for more like $50 and have been available since 2014, that's just $5M a year or so on SI's books. I wasn't able to find any financials for the company in a quick Google except this CNBC quote from 2013, before the We-Vibe 4 app-enabled product came out: > We-Vibe, which retails for $79-$170, has been one of those big hits. Over the past five years, the device has amassed cumulative sales of $100 million. And it's gaining momentum. In 2012, the company says, annual sales were 50 percent higher than the preceding year—and the company had revenues of $35 million. It expects those revenues to land between $45 million and $50 million this calendar year. http://www.cnbc.com/id/100828629 http://www.cnbc.com/id/100828629
- bsder 10y ago
  Okay, I guess it really did sell that many cumulatively. $100 million in sales translates to about 300,000-500,000 units. So, the numbers would be consistent.