Hardware Challenges in Detroit

A Complex Journey for Astrohaus in Detroit

Adam Leeb describes the story of Astrohaus’s establishment in Detroit as “a little bit of a messy story,” acknowledging its somewhat convoluted path. The co-founder and CEO of the hardware startup doesn’t embody the typical enthusiastic advocate often found among leaders who choose to base their companies outside major hubs like San Francisco or New York.

Early Days in the Motor City

Leeb, originally from Detroit’s surrounding areas, co-established the company in the city itself in the autumn of 2014 alongside Patrick Paul. Astrohaus’s initial – and most recognized – offering emerged from a desire to provide users with a writing environment free from distractions.

“I don’t even consider myself a writer,” Leeb explains regarding the product’s origins. “My interest in the product stems from a fascination with process and productivity. I’m deeply passionate about streamlining tasks and creating enjoyable user experiences.”

Leeb, holding a mechanical engineering degree from MIT, and Paul, a Michigan State graduate and software developer, connected through Detroit’s startup ecosystem. They then began developing a word processing device that combined the advantages of contemporary technology while avoiding the common distractions inherent in computers and tablets.

Kickstarter Launch and Brand Evolution

The fledgling company introduced itself to the public through a Kickstarter campaign launched in 2014.

“The Hemingwrite integrates the most beneficial aspects of past writing tools with the addition of modern technology,” the company stated. “It offers the dedication of a typewriter, superior keyboard quality and battery life compared to computers, and a distraction-free experience akin to a word processor. Furthermore, your documents are synced to the cloud in real-time, eliminating concerns about saving, syncing, or backing up your work.”

The product garnered both enthusiasm and some playful criticism – including one review labeling it “pretentious hipster nonsense” – for its $500 reimagining of the typewriter. The crowdfunding campaign proved successful, raising nearly $350,000. The product’s name was subsequently updated in June of 2015.

“We are refining our brand with a more descriptive name that also moves away from associating us with a particular renowned author,” the company announced in a June 2015 Kickstarter update. Two months later, Astrohaus relocated to New York City.

A Move to New York and Return to Detroit

“I was eager to relocate,” Leeb admits. “I wasn’t certain how we could thrive in Detroit.” He felt the city lacked a strong hardware industry presence and that his network was primarily based in New York. He persuaded Paul to move, citing the greater opportunities available in New York.

However, circumstances shifted once more. Paul departed the company, and Leeb married Kacee Must, a Detroit resident and owner of Citizen Yoga, a local yoga studio. In 2018, he found himself rebuilding Astrohaus in its original city. Currently, the team consists of five full-time employees in Detroit, supplemented by a distributed network of contractors.

Detroit's Ecosystem and Manufacturing Challenges

Leeb’s perspective on launching a hardware startup in Detroit is nuanced. He acknowledges the difficulties in recruiting and securing funding locally, while also appreciating the strong sense of community support that is less prevalent in larger cities. “In these smaller ecosystems, you develop close relationships with everyone,” he notes. “There’s a remarkable level of accessibility, and Detroit companies genuinely support each other. The city exudes a strong sense of pride.”

Despite the talk of revitalizing manufacturing in Detroit, Leeb has encountered challenges in producing the Freewrite and subsequent products domestically.

“There’s a distinct world of advanced manufacturing startups that benefit significantly from being located in a manufacturing hub,” he explains. “However, for software companies and ourselves, the advantages are less pronounced. We manufacture our products in China, and I don’t foresee a change in that arrangement anytime soon. I maintain strong relationships with our factories and spend considerable time in China, as they are well-equipped for consumer electronics production.”

Local Support and City Transformation

Leeb highlights the usefulness of Venture for America, a nonprofit founded by Andrew Yang, as a resource for local hiring. He also observes a dramatic shift in perceptions of the city over the past decade, from a struggling post-industrial area to a viable business location.

“The city has undergone a massive transformation in the last 10 years,” Leeb states. “[Quicken Loans co-founder] Dan Gilbert almost single-handedly revitalized the city. While he’s not without his critics, he was the only billionaire who made substantial investments in Detroit, consolidating his suburban offices downtown and encouraging other companies to follow suit.”

Looking Ahead: Collaboration and the Future of Work

The COVID-19 pandemic will undoubtedly have lasting effects, particularly as remote work becomes increasingly common. However, hardware startups will always benefit from maintaining close proximity for product development and testing. Leeb reveals that Astrohaus’s next device will focus on addressing the challenges of remote collaboration.

“I’m actively developing a new hardware product designed to facilitate collaboration and communication,” he says. “This issue existed before the pandemic, but it’s now widespread. I believe we’re lacking effective communication tools, and there’s significant room for improvement. I don’t feel as connected as I could be, even with the technology available.”