- Failure 06
- Business failures
- Juicero
- United States
- 2017
The internet juicer you could beat with your hands
A start-up raised about $120 million for a Wi-Fi juice press, then reporters showed its juice packs could be squeezed by hand.
What happened
Juicero sold a countertop press, connected to the internet, that squeezed juice from sealed packs of chopped fruit and vegetables delivered to your home. The machine pressed with a reported 8,000 pounds of force and scanned a code on each pack to reject old ones. The company raised about $120 million from investors including Google's venture arm.
The press launched in spring 2016 at $699, with packs costing about $5 to $7 each. In January 2017, the company cut the price to $399.
On 19 April 2017, Bloomberg reported that its reporters had squeezed Juicero packs with their bare hands and got nearly as much juice as the machine produced. The story spread widely.
On 1 September 2017, Juicero stopped selling its press and packs and offered refunds. It said it could not build the national fresh-food supply chain it needed on its own, and would look for a buyer.
Why it failed
Juicero built impressive engineering around a problem that a simpler method already solved. The internet connection and powerful press made the product expensive, but the core job, getting juice out of a pack, did not need them.
Many AI projects fall into the same trap. Teams add a chatbot, a model or an agent because it sounds modern, when a checklist, a search box, a spreadsheet formula or a better prompt would do the job. AI adds cost, upkeep and new ways to fail, so it has to earn its place.
The idea behind this caseLesson: Fine-tuning vs prompting →
Lessons for anyone deploying AI
- 1Write down the problem in one sentence before choosing any technology.
- 2Try the simplest possible fix first, and only add AI if it clearly beats it.
- 3Compare the full cost of the AI version, including running and maintenance, with the simple version.
- 4Test with real users whether the AI part changes what they get, not just how it looks.
- 5Drop features that only exist to make the product sound advanced.
Sources
- Silicon Valley's $400 Juicer May Be Feeling the Squeeze · Bloomberg · 2017-04-19
- Juicero Cuts Connected Juicer Price from $699 to $399 · Fortune · 2017-01-17
- Company behind Yves Behar's hard-pressed Juicero machine shuts down · Dezeen · 2017-09-05
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