Strategy in TECH...
While many things have changed in the wake of Joe Kiani’s exit from Masimo Corporation (Nasdaq: MASI) – and many more changes are likely still to come – one thing continues on, the many lawsuits existing between Masimo and Apple Inc (Nasdaq: AAPL). And in the last few days, we have learned of two significant developments in that regard. One is a significant win for Masimo…and the other a significant win for Apple.
However, the war between these combatants continues…
Coastal Source, one of the industry’s leading providers of outdoor audio and lighting solutions announced this week that current President Jeff Poggi will be moving outside the company to take a new role as a consultant. The move will take place at the end of this current calendar year.
Sonos (Nasdaq: SONO) announced this week that it was issuing new quality and customer experience “commitments,” as it seeks to rebuild its deteriorating reputation in the wake of a disastrous app launch earlier this year that has caused many, if not most, Sonos systems to stop operating properly – if they operate at all. There has been tremendous upheaval among Sonos customers who have reacted angrily and negatively on Sonos-related message boards and other social media sites.
And now, just last week, Morgan Stanley analysts issued a rare “double downgrade” on Sonos shares – a significant ratings drop indicating that it expects the value of Sonos stock to underperform the market in the near- and mid-term future. Morgan Stanley’s analysis of why this double downgrade was necessary is pretty devastating.
On Tuesday this week, at precisely 12:01 a.m., 45,000 dockworkers in 36 ports up and down the East Coast and throughout the Gulf of Mexico went on strike. That sentence should send a shiver down your spine because, yes folks, a new supply chain nightmare has begun. This possibility has been on my radar screen for a couple of weeks, but I hesitated to write about it because I was hopeful that negotiations would yield a resolution that would prevent this nightmare from happening…and then I would have been accused of fear mongering.
But negotiations did not yield a solution…so here we are!
Savant released several announcements at CEDIA Expo 2024, each of which was interesting on its own. Seeing these announcements reminded me of some of its past announcements – such as the acquisition of GE Lighting and J Geiger Shading – that were also interesting in their own right.
But only when you start putting these and other company developments together, like individual pieces of a mosaic, does a picture emerge of just where Savant is headed. And that picture…is truly compelling one of a smarter Smart Home.
Masimo Corporation’s [Nasdaq: MASI] 2024 Annual Stockholders Meeting concluded yesterday, September 19, 2024, to the surprising news that the battle for control of the company’s Board of Directors was over…and there’s a new sheriff in town. According to a public statement released from Politan, activist investor Quentin Koffey, and his Politan Capital Management group’s nominated candidates, both won election to the two open Board seats – guaranteeing that the new independent directors are a majority of…and control…the Board.
Investors reacted to the news…and it was a strong reaction.
I’m thinking of pitching Bravo Network on my idea for a new reality TV show called something like …Masimo Manic Mysteries…or Politan Proxy Obsessions… What do you think? I’ve got tons of material to pull from. I’ve followed many proxy battles over the years, but this one definitely wins the prize as the most personal and brutal battle I’ve seen. In the first twelve days of September, there has been no fewer than seventeen new proxy revisions, investor letters, and proxy-related press releases (four separate filings just today!) filed and mailed to investors. Investor’s heads must be spinning…I know mine is!
And of course, as the 2024 Annual Stockholders Meeting approaches – only one week away – the drama continues to ramp up as management continues to dig in to save their jobs while investors keep shoring up more votes. It’s getting really ugly.
Houston, TX-based WAVE Electronics, one of the nation’s largest independent distributors for the custom integration industry, announced today that it has acquired KOA Electronics Distribution, itself a leading CI distributor based in Panorama City, CA. This merger creates a mega-distribution business spanning multiple locations in multiple states.
Oasys Residential Technology Group, a division of Nationwide Marketing Group, announced on Wednesday that it has partnered with Sonos, a leading wireless audio brand popular with consumers. The announcement comes on the eve of today’s opening of CEDIA Expo 2024, taking place in Denver, CO from September 5-7, 2024.
Oasys group managers say that this is a significant deal with “a massive brand.”
Soundtube Entertainment (formerly MSE Audio) announced this week that it has appointed Jeff Brewer as its new Vice President of Sales for the Residential Division. Brewer is well known throughout the industry and the company hails his “rich background in the audio industry” along with his “proven track record in leadership.”
