Android Founder Andy Rubin Announces Shutting Of His Smartphone Startup Essential

by StartupWorld Staff         

Android founder and former Google executive Andy Rubin has announced the shut down of his mobile and home devices startup Essential after April 30 this year. Along with Essential, the e-mail service, Newton, which he got with the acquisition of CloudMagic Inc., will also shut down its operation.  

Lately, the startup worked on its new smartphone named Gem, which is uniquely designed, but after the development of the product, it

looked like an ultra-thin TV remote. According to the firm, Gem is the reason for shutting down the startup. The startup states that it has "no clear path to deliver it to customers." The team has not mentioned whether the product design, production, funding, or some other issues led its journey to end here. 

Android Founder Andy Rubin Announces Shutting Of His Smartphone Startup Essential

Andy Rubin and Matt Hershenson founded Essential in 2015 with the plan to introduce various smartphone models, several smart home speakers, and operating systems. Although, it was earlier seen as one of the most promising ventures of Silicon Valley because of the exceptional record of Rubin's Android development. The valuation of the startup also touched $1 billion, making it a unicorn in less than 2 years.

Essential's first smartphone, PH-1 had failed in alluring customers, ultimately the company faced loss, and it left with no other option but slashing the prices by $200. This failure intended them to cancel the development of the smart home devices and the losses have also led to lay off 30% of its headcount. Besides, Rubin's allegation of sexual harassment is also considered as one of the reasons for the failure of Essential.

Shutting down of Essential means that its only model PH-1 will no longer receive any security updates. Besides, the firm has shared its software on the coding site Github so that developers can keep on checking it.


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