Grant's critique rings hollow to me. Not because his analysis is wrong, but because... well... consider this...
You live in a world that has games, but Kickstarter doesn't exist. A magic man appears and says "if you open this magic box, the world will transformed into a place that has many, many more games for you to choose from. Many of them might be worse than games you have now. A few of them, though, will probably be awesome." Do you open the box?
I would. I don't see the downside. I guess Grant's concern is that some people somewhere might be duped into buying a bad game. Or, perhaps that I, with my powers to choose for myself, might spend my money un-optimally on a game that wouldn't have had the opportunity to take my money if I hadn't opened the box. Why is that Grant's problem? I'd rather have the choice.A good hypothetical. I didn't mean to indicate that I thought Kickstarter shouldn't exist, or that it was bad for boardgame designers - on the contrary, I think it's terrific that it exists, and it's great that people are having success using it to produce games. One of the biggest barriers to entry to the board game market is the huge up-front investment required for game production, as I've discussed frequently (e.g. here). Kickstarter and similar crowd-funding places smooth out that barrier.
My problem with it, and I don't really have much of one, is that it nearly completely shifts the burden of the process from the designer to the consumer. The model for traditional publishing normally like either of these:
Design a game --> Invest a bunch of money --> Produce and sell game --> Recoup money
Design a game --> Invest a bunch of money --> Produce game, sell hardly any --> Become poor and bitter
Obviously, the second part of that chain is the barrier, and the potential costs are borne by the designer or publisher. With Kickstarter, the designer benefits by not having to risk lots of money, shifting that burden directly to the customer. However, if the game isn't good, the bitterness is still present, but shifted to his/her funders. So, it's win-win for the designer/publisher, but a mixed bag for the funder. But for both parties, there is a dilution of both risk and of bitterness there, which is good - I'm less bummed having dropped $20 on a bad Kickstarter game than I am having blown $10,000 to get a game printed that nobody buys.
I think Grant's major complaint is not that Kickstarter is bad, but that because it's win-win for the designer, there's a much weaker filter for the projects in question. That means the average quality of published games will have to go down (perhaps precipitously so on Kickstarter) while the number of published games will go way up. A little of this is a great thing - Wordman rightly points out that with a bigger pool of games to choose from, more awesome games will be produced rather than sitting in desk drawers and hard drives, and we may see great games that would never have come out. There's a downside here too, especially if the barrier gets too low - it's like the Internet in general. Many more people have a chance to speak, but they don't necessarily have something to say.
So, I like Kickstarter, and I think on balance it's great for independent (a fancy word for unpublished) game designers. There's a downside, too, though, and there's a chance that if a bunch of crappy games all go to the well at the same time or over and over again, it'll dry up. But so far, it's been better and grown faster than I thought possible, so what do I know?
I do worry that, as sometimes happens at TheGameCrafter.com, if most of the projects aren't of very high quality, it will become difficult to find the good ones among the sea of crap. TGC actually created a very small barrier in a recent update - they require at least one copy of a game to be purchased before it can be published to the shop - and I think it has helped raise the bar a little bit.