Kickstarter

Definition

Kickstarter is a crowdfunding platform that allows creators to present their projects to the public and seek financial support from backers. It has played a significant role in the rise of consumer VR headsets in the 2010s by providing an accessible avenue for developers to fund innovative ideas, helping bring many groundbreaking VR projects to life through community support.

5 Must Know Facts For Your Next Test

1. Kickstarter was launched in 2009 and quickly became a popular platform for creative projects, including those in technology and gaming sectors.
2. Many successful VR headsets, like the Oculus Rift, initially sought funding through Kickstarter, demonstrating how crowdfunding can validate market demand.
3. Kickstarter operates on an all-or-nothing funding model, meaning projects only receive funds if they meet their funding goal within a set timeframe.
4. The platform has fostered a sense of community among backers and creators, as supporters often feel invested in the success of the projects they fund.
5. Kickstarter has enabled independent developers and small companies to compete with larger corporations by providing them a platform to showcase their innovative VR concepts.

Review Questions

• How did Kickstarter influence the development and launch of consumer VR headsets during the 2010s?
  • Kickstarter significantly influenced the development of consumer VR headsets by offering a platform where creators could showcase their innovative ideas and secure funding directly from potential users. This democratized the funding process, allowing independent developers to compete with established companies. The success of early VR projects on Kickstarter, like the Oculus Rift, proved that there was strong consumer interest in virtual reality technology, encouraging further investment and development in the industry.
• Evaluate the impact of crowdfunding platforms like Kickstarter on the traditional funding models in the tech industry, particularly for VR startups.
  • Crowdfunding platforms like Kickstarter have dramatically changed traditional funding models in the tech industry by enabling direct interaction between creators and consumers. This shift allows startups in the VR space to bypass conventional investment channels such as venture capital, which often requires extensive business plans and financial backing. As a result, innovative ideas that might not fit into traditional molds can find financial support and validation from enthusiastic backers, leading to more diverse product offerings in consumer VR.
• Synthesize how Kickstarter's model has shaped not only VR technology but also broader trends in creative entrepreneurship across various industries.
  • Kickstarter's model has shaped VR technology by demonstrating how crowdfunding can lead to successful product launches based on community interest and support. This approach has extended beyond VR into various industries like film, music, and fashion, where creators can directly engage their audience before production begins. The transparency and interaction fostered through this model encourage innovation and allow niche projects that might be overlooked by traditional investors to thrive, promoting a more inclusive environment for creative entrepreneurship.

Related terms

Crowdfunding: A method of raising money for a project or venture by collecting small contributions from a large number of people, often via the internet.

Backer: An individual who pledges money to support a project on a crowdfunding platform, typically in exchange for rewards or early access to the product.

Prototype: An early model or sample of a product used to test and validate ideas before full-scale production.