LayerVault

2011 - 2015
dead us
allan grinshtein and kelly sutton raised 535,000 dollars in august 2012 to give photoshop files a version history, something designers had asked for repeatedly and then, in the end, did not pay for. the notice went up on 11 march 2015 and gave customers exactly one month to pull their work out. the company's side project, a link aggregator called designer news, turned out to be the piece with resale value, and it outlived the company that built it by nine years.

~ the goodbye ~

This was a tool for people who live inside Photoshop all day, which has never described my job. I write code, so my version of this problem was solved for me a long time ago by a thing that diffs text and costs nothing. The whole reason LayerVault existed is that the trick which works on a source file does not work on a big layered PSD, and the people stuck with that were a profession I have only ever worked alongside.

What Grinshtein and Sutton built, starting in New York in 2011, was a folder on your Mac that watched itself. You saved over a file the way designers actually do, with no commit message and no ceremony, and LayerVault kept every previous state, rendered a preview of each one, and let a client or an art director leave comments on a specific version. There was unlimited storage, an iOS app, and a delivery step at the end so the final files could be handed over without a Dropbox link. In August 2012 they raised 535,000 dollars from SV Angel, Betaworks, High Line and Red Swan to keep it going.

In December of that year they put up a side project. Designer News was a Hacker News clone pointed at designers, built because the two of them felt designers posting on the real Hacker News got buried under the engineers. It cost almost nothing and it caught on immediately.

~ the chronicle ~

Born2011, in New York, selling version control for design files
Peak$535,000 seed in August 2012, from SV Angel, Betaworks and others
Killed11 April 2015, one month to the day after the notice
Lifespanabout four years
Made byAllan Grinshtein and Kelly Sutton
Killed bya market for creative tools too small to pay for the engineering in it

~ the market for creative tools ~

Khoi Vinh published the best reading of what went wrong the day after the announcement, under the title "The Demise of LayerVault and the Market for Creative Tools." His argument was about the size of the room. Designers are a profession that complains loudly about its tooling and is also, in aggregate, quite small and quite reluctant to put a company credit card behind a subscription. Adobe could carry that economics because it sold the whole suite to the whole department. A startup selling one feature to individual designers could not.

The competitive picture said the same thing from the other direction. Pixelapse had been doing roughly the same job, and in early 2015 Dropbox bought the team. Being acquired was the exit available in this category; being a going concern was not. Sutton's explanation when the end came was short and did not dress anything up, which is that the money ran out and no more of it was available.

~ one month to export ~

The notice went up on 11 March 2015 and set the closing date at 11 April, a full month, which in this genre counts as decent behavior. Customers were told to export, and Archive Team started pulling the public side of the site down in parallel, finishing their crawl on the same day the lights went off.

Designer News was handled separately, because it was the thing anybody wanted. Andrew Wilkinson of MetaLab bought it and became its publisher, and the community carried on under new ownership for another nine years. The product with the funding round and the engineering behind it closed. The weekend project it was launched alongside was the asset.

~ what the domain says now ~

The domain is still registered. Ask for layervault.com in October 2026 and you get bounced to the www host, which answers 404 with three kilobytes titled "Squarespace - Website Expired." Somebody kept the name alive, parked a site builder on it, and then stopped paying for that as well.

~ leave a rose ~

an anonymous tribute. one rose per visitor per day.

@}-->-- ... roses left here

~ leave a wreath ~

a rose fades by morning. a wreath stays on this grave for good, with your name on it.

from $1, paid once through stripe. it keeps the graveyard running: the hosting and the nightly digging. adopt it and the headstone reads "maintained in memory by" you. the groundskeeper plants new wreaths at the next tending, usually within a day.

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~ leave a note ~

visitors before you have left these graveside notes. anonymous welcome.

other collaboration: Open Source Cinema, Wimba, Noteable, BlueJeans by Verizon

also died in 2015-2019: Firefox OS, Nokia MixRadio, Marvel Avengers Academy

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