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Startup Cemetery

A big resource for entrepreneurs and startup owners, in which we have collected and analyzed why +100 big companies have failed. Learn from mistakes, and avoid being part of the 90% of businesses that fail.

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BitPass

Online payment system for digital content

General Information
Category
Finances
Country
United States
Started
In 2002
Business Failure
Business Outcome
Shut Down
Closed
By 2007
Cause of Failure
Competition
Founders & Employees
Number of Founders
One
Name of Founders
Kurt Huang
Number of Employees
Between 51 And 100
Funding
Number of Funding Rounds
2
Total Funding Amount
$13.3M
Number of Investors
6
Description

Bitpass was a company that gave people a platform to make micropayments online. These payments were ranging from one cent to a dollar. BitPass developed an online payment system for digital content and services like the downloadable music and PDFs. Mperia, an online music store founded in 2003, was one of its greatest projects for unsigned artists. BitPass customers included giants such as Disney and Microsoft.

Cause of Failure

The main reason for closure as stated in their email was competition. The newly rolled Google Checkout payment system, which was offered for free, made BitPass business superfluous. Bitpass CEO originally hoped to get their micropayment features integrated into Google checkout but that never happened. After raising about $12 million and acquiring one of its competitors Bitpass journey came to an end in 2007.

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Utrip

AI-powered travel planning services

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$6M
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In 2012
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Two
Between 11 And 50
Between 1M 10M
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Fab

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Acquired
$336.3M
Multiple Reasons
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Desti

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Travel
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$2M
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In 2011
By 2014
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Between 1 And 10
Between 1M 10M
Bad Business Model
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This is Brought to You by:
NerdPilots

NerdPilots

Get fast, reliable web, mobile and software development help 24/7.

Acadium

Acadium

120 hours of digital marketing from a remote apprentice for only $299 (+ $50 off!).

This could be your AD. Sponsor Startup Cemetery to reach +10,000 entrepreneurs.

Subscribe to Our Newsletter!

Invite us into your inbox and get immense learning and 80+ deals on tools to help you scale your startup (worth up to $50,000)!

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