As is all too often the case nowadays, another Kickstarted piece of hardware was overly ambitious with their goals. I was just discussing with some friends over beers the other day how these small companies don't spend enough time and research optimizing their hardware for scale. They get too focused on getting some quick cash without realizing what it will take to be in it for the long haul.
Another stark reminder of why you should really be wary of crowdfunding every cool gadget that comes around. If it sounds too good to be true, it probably is. Pebble is an exception to the rule.
This isn't to say that I think Kickstarter is a bad idea, or that I'm happy this failed. That sucks, and I wish their team the best in the future. But these things should be thought out beforehand.