They already released before. From what I know, 1k eth was their target during the pre-sale and they said they reached that target.
Not, they raised only 800-834 ETH. Not 1k. So because of that fact they decided to focus on product, not crowdsale.
That's still a decent effort in this market. You would think it would be enough to keep going.
Plus once a working product is ready, they could generate some income from that. Really ICO's should just be about getting something off the ground. Obviously the more funding the better, but there is no need to shelve a project that is just short of its presale!