Seems pretty cut and dry to me.
They gained fame as the perceived boosted alternative, raised 8m investment, made a few hundred boards and realised the money was in fleet scooters, convinced investors that it was the way to pivot, stopped stocking thier core esk8 product (literally NEVER in stock), blew 6m on r&d and tittybars, went back to investors for promised round two seed, investors asked what they had to show:
No assets, superceded product development, complete abandonment of core line/retail customers and stupid overheads for a company selling no products.
= laughter and chopping block.