Raden, a technology startup that manufactured and sold a line of smart luggage, has shuttered its operations following new industry regulations banning lithium-ion-based smart luggage from air travel.
"The changes in policies concerning batteries in luggage in December by all major airlines severely impacted the usefulness of our products, their value to our customers, our business performance and ultimately the ability to continue operating," the company said in a statement now solely posted on its website. "We sincerely apologize to those who chose to travel with us," it continued, saying "our intent was to add ease and simplicity to your travel experience and this unforeseen policy change has made this impossible."
Raden's luggage technology was unique in that it had an integrated battery that could be used for luggage tracking and also backup power for peripheral devices like phones or tablets. While the battery was removable (the company released removal instructions after the DOT restrictions went into place), without the integrated power the luggage was effectively no different than any other bag on the market, making it hard for the company to compete with other brands and technologies. To pivot to a different design that adhered to the DOT restrictions, Raden would have needed a major cash injection to retool and relaunch its technology. Ultimately, that effort along with the company's current commitments were apparently too much to handle.
According to Raden's website, all outstanding shipping commitments have been met by the company while currently deployed hardware is no longer covered for exchanges or refunds.
Raden's dissolution comes on the heels of a similar failure at Bluesmart, the hardware startup that arguably launched the smart luggage category. Earlier this month, that company announced that it was ceasing production on its Series 2 line of smart luggage and selling its assets to Travelpro.
As fallout from the Department of Transportation's restrictions continue, many other smart luggage manufacturers are facing the tough decision to either pivot to new technology or fold entirely. Some brands like Fugu have pivoted to make onboard batteries modular instead of integrated directly into the luggage. But for others like Raden and Bluesmart, there's little value left remaining in the smart luggage category.
