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I don't think there is anything wrong with over-funding a promising startup. With Color, the problem was in the vision and execution, which can happen no matte

I don't think there is anything wrong with over-funding a promising startup. With Color, the problem was in the vision and execution, which can happen no matter how much money is in the bank. While I appreciate the mentality behind a lean startup, I can also understand the benefits of a "fat startup." Color was entering a crowded space-- there were a ton of photo sharing apps, but nothing close to a clear winner. In theory, putting $41 million into one "killer" photo sharing app makes a lot more sense than putting $3 million into a dozen average photo sharing apps. Unfortunately, things didn't work out for Color. A large number of start ups fail, merely because they don't have enough engineers. Companies like Google (Google+, Google Docs, etc) or even network TV (Hulu) have been able to buy their way into markets, merely because they can turn out a full featured product relatively quickly, and back it with proper bizdev and marketing.

rockarage 15y ago
Agreed, but Lean startup is not just about overfunding, it also means not building your product in secret, which is what they did, which is why they are in mess. "Eric Ries, the Lean Startup philosophy says the last thing you want to do is raise a whole lot of money, build a product in secret, then spring it on a world that may not want what you've built at all" They should not have built this product in stealth mode then release it at the wrong time(missing SWSX). Investors should be worried, what they thought is a great team is no longer there. One was fired, the other resigned now there is only Bill Nguyen. I think it will be hard to attract talented leaders after seeing cofounders leaving and being fired. Forget pivoting, Bill can't even keep his star team together.