Just to be clear: this is not Kickstarter funds being redirected. We worked on LT for 2.5 years, we were given 280K (after KS's cut), around 20k went to shirts/fullfillment. That's 260k for 3 guys in SF over 2.5 years... that money ran out long ago.
It would be a shame for that to be the case. The amount given was indeed much more than reasonably used up if it supported 3 people for 2.5 years (especially in SF).
While that's good to know, I think that the implicit upside gain hoped for from Kickstarter that underlies a lot of decisions to fund through it (especially for software) is that acheiving funding means not just that the thing gets delivered, but that an effort is made to build a sustainable business model is built around it and support the user community. The perception that, having delivered the kickstarted product and spent a couple years on it the team would abandon it and move on to a very different kind of focus (even if in the same broadly drawn domain) understandably reduces the perception that that kind of upside potential is around for a future effort.
Now, one can argue that that kind of upside expectation is somewhat irrational in the first place, of course.