Scanadu was known for breaking the record for crowdfunding when it raised more than $1.6 million on Indiegogo’s website in 2013 for the company’s tricorder device. Now, the company has sent a letter to customers informing them of plans to disable the Scanadu Scout in May next year, as initially reported by TechCrunch. And that’s infuriated supporters.
A copy of the letter was posted on Twitter:
When Investment Rhymes with Canada
Canada has a proud history of achievement in the areas of science and technology, and the field of biomanufacturing and life sciences is no exception.
Seriously, @scanadu? So you effectively charged me $200 for the privilege of participating in your private study #scam pic.twitter.com/ois86liPgC
— Urban Sedlar (@urbansedlar) December 13, 2016
Walter De Brouwer, the founder and former CEO of Scanadu, took to Twitter to deny that the action was brought on by the involvement of the U.S. Food and Drug Administration.
No FDA shutdown @scanadu ; no longer in position to comment since 4/16. Best contact current management. Using Scout until last heartbeat.
— walter de brouwer (@walterdebrouwer) December 14, 2016
In response to a request for comment, an FDA spokeswoman said in an email: “The FDA cannot confirm or deny or comment on any pending enforcement actions.”
A Scanadu spokeswoman told TechCrunch that the tricorder device was simply part of a study that has now finished.
“From the beginning of the campaign, this was an investigational device that was part of a study which has now reached its endpoint with data collection for the study ending in November 2016,” the Scanadu spokesperson said. “FDA regulations require that all investigational studies be brought to closure and their respective devices be deactivated. As a result, we will deactivate the Scanadu Scout devices by May 15, 2017.
Customers fumed on Twitter with some adopting the hashtag #SCAMadu.
My Scanadu will "cease to function" after less than 2 years? So I paid to send you my health data and I'm left with nothing? @scanadu
— Jason O'Neill (@jay_oneill) December 14, 2016
https://twitter.com/harrygato/status/808855249012330496
https://twitter.com/bettywiderski/status/808752501801488384
The Scanadu Scout was promoted as a tool that could help users do exams from home such as measuring temperature, blood pressure and heart rate and other functions. The idea was that the devices would transmit data to an app on users’ smartphones. Users could share that information with their provider if they wished. Along the way, there were manufacturing delays.
Walter De Brouwer, the founder and former CEO of Scanadu, stepped down from the top post in April to make way for Jaime Tenedorio in the CEO slot. De Brouwer noted in a blog post on Scanadu’s website at that time that the first clinical trial of the Scanadu Scout to measure vital signs was being conducted by Scripps with more than 4,000 people participating. He also added that the company would soon provide what he claimed was the first in-home urinalysis test for consumers.
“We are building not just powerful medical devices but a platform of consumer health data,” De Brouwer said.
De Brouwer became the CEO of doc.ai, a mysterious healthcare startup with a website featuring an animation dressed as a healthcare professional that wants to be an “AI for health”.
As of April 15, when Scanadu closed a Series B round, the company had raised a total of $49.7 million. Investors, in addition to the crowdfunders, included Fosun International and Tencent Holdings, which led the Series B, China Broadband Capital, Iglobe Partners of Singapore, Relay Ventures, Redmile Group, Ame Cloud Ventures and Three Leaf Ventures, an affiliate of The Broe Group. The funding was intended to support Scanadu’s go-to-market strategy as well as its ambitions to build a market in China.
