Strategy in TECH...
Mike Anderson, CEO of 3vNet announced today that 3vNet’s business is being wound down and would cease shipping all products by December 31, 2013. At the same time, Anderson also announced the launch of an entirely new enterprise called Automated Control Technology Partners, Inc. which is expected to debut at the upcoming InfoComm in Orlando, FL this June.
In a series of filings associated with the Chapter 11 voluntary bankruptcy filing by Wayne, NJ-based Electronics Expo, we are learning new details on the slippery slope the company found itself facing in 2012 – a slope that landed them in court, seeking protection from creditors. The filings included an affidavit from company Managing Member and President Levent (known as Leon) Temiz that said circumstances left them with “no alternative but to conclude that a reorganization under Chapter 11 was the best way to stabilize the Debtor’s financial condition and maintain sufficient flexibility to restructure its debt while continuing to operate its business.”
Ube, a start-up company that combines the processing power of your mobile device with the capability of cloud-based software to create a new level of affordability in home automation products for the rest of us, has successfully completed a funding project on the crowdfunding site Kickstarter. As a result, the company’s first product, a Wi-Fi-enabled smart dimmer, is fully funded and will be built and shipped in just a matter of a few months.
Gibson Guitar Corp. announced last Friday morning at 4:00AM EDST that it would acquire a controlling interest in Japan’s Teac Corp, extending it’s entré into consumer electronics market via newly affordable, if struggling, Japanese companies. Last year, Gibson took a significant minority stake in Onkyo Corp., and additionally purchased a majority share of Onkyo’s American subsidiary, Onkyo USA. Teac, with both a consumer business under the Teac and Esoteric brands, and a professional business under the Tascam brand, broadens Gibson’s consumer and pro initiatives.
Wayne, NJ-based Electronics Expo, an independent regional retail chain selling quality A/V electronics, has entered bankruptcy as of March 31st. The company, which at one time had as many as eight locations at its peak, is now down to two showrooms and one outlet center at its offices, according to a report by NorthJersey.com. Electronics Expo is owned by Leon Temiz, once a partner with family members in another regional player, Sixth Avenue Electronics.
In late December 2012, just days before the January Consumer Electronics Show, there was a relatively significant shift in alliances in the world of national distributor groups that we reported on. First we learned of the creation of a new group, CatalystAV – a group whose announcement contained the names of four members of the existing Digital Delivery Group (DDG) group. We also learned that DDG, in addition to losing some key members, had also parted ways with existing Executive Director Dave Kaplan and hired Daniel Kippycash of The DaVinci Group as his replacement.
Core Brands, a division of Nortek, Inc., will announce sweeping new structural and marketing initiatives this coming Tuesday, April 1st, Strata-gee.com has learned from multiple sources. In a recent post on parent company Nortek, we alluded to sources telling us about impending changes in what was to be a major announcement – literally a fundamental change in the way the company does business.
Clearwater, FL-Based Tech Data Corp. said today that it will restate some of its financial results for the period of time covering the fiscal years of 2011, 2012, and 2013. According to the company, it has discovered “improprieties” with how its U.K. subsidiary reflected vendor accounting.
In a recent fiscal year 2012 fourth quarter and full-year report, Nortek, Inc. showed a mixture of hit-and-miss results with fourth quarter sales dropping 5.6% to $505.4 million as compared to Q4 2011’s $535.2 million. Worse yet, the company’s Q4 net loss increased from last year’s $800,000 to a substantial $12.5 million. These results were in spite of the fact that this year’s calendar for the quarter had two more days in it than the quarter last year.
However, Nortek’s overall annual results showed a brighter picture with 2012 sales increasing to $2.2 billion, up 2.8% from the previous year’s $2.14 billion. Net profits in 2012 came in at $9.5 million – a substantial improvement over 2011’s net loss of $55.9 million.
Quadrant Solutions, a supplier of magnets and magnetic assemblies announced today that Kathy Gornik, former co-founder of high-end loudspeaker manufacturer Thiel Audio, has joined the company in a new business development role. Gornik’s appointment is effective immediately.
