Strategy in TECH...
Several reports have emerged saying that Apple, Inc. has told suppliers that it is committed to upgrading the displays on its popular iPhone from the current LCD-based touchscreen to an OLED display, starting in 2018. This decision has industry-wide ramifications and has suppliers scrambling to increase the capacity of their OLED factories. There are also competitive ramifications from this decision that is bound to rattle competitors.
Control4 Corporation announced today that it will begin offering Denon products to Control4 dealers through a web portal at which products from both brands can be purchased. The move is a first for both brands, as far as we’re aware, and represents a potential expansion of Denon’s distribution channel.
ProSource, a national dealer buying group, announced this week that it has cut a deal with DTS Inc., to partner in marketing and promoting its Play-Fi wireless music system products. DTS, which announced an expanded roster of Play-Fi participating manufacturers at CEDIA Expo, has been a bit behind other wireless makers before now, but is seen as picking up the pace of its expansion.
Two members of the Board of Directors of CEDIA have abruptly resigned within 24-hours of each other in what appears to be a sign of turmoil roiling the organization’s Board, multiple sources told us. According to reports, Richard Millson of Millson Technologies and Bob Brown, a well-known industry consultant, have both abruptly resigned their positions on the Board.
Nortek, Inc. stock dropped more than 9.3% in early afternoon trading Wednesday in the wake of a report released by the company after the close of business Tuesday showing results for their fiscal third quarter. With sales and profit declines in key business segments – as well as for the company overall – it appears that Wall Street analysts are growing tired of waiting for the promised benefits of the company’s multi-year restructuring program, begun four years ago.
The company reported overall sales for the quarter of $618.5 million or 3.8% below the $642 million booked in the third quarter last year. The profit picture was even bleaker with a net loss of $14.4 million in the quarter this year as compared with a net profit in the quarter last year of $4.6 million.
Surprisingly, the AVC division saw sales drop an astonishing 36.8% to $30.1 million – well off the $47.6 million in the quarter last year – in the wake of the spin-off of TV One and the company’s exit from commercial AV businesses.
This week, the Custom Electronics Design & Installation Association (CEDIA) announced the attendance for this year’s just-completed Expo, which they say came in at 18,700 attendees with 510 exhibiting companies. This level of attendance means only 200 people more visited the 2015 Expo – or a paltry 1% over the Expo attendance last year of 18,500 – and is disappointingly flat in a year that many hoped would show growth.
Richard Millson, owner of Millson Technology and founder of the new Millson Custom Solutions, didn’t see as much of the 2015 CEDIA Expo as he had hoped. The reason? He was behind closed doors with rotating groups of integrators in a continual series of mostly standing-room-only presentations of his latest creation…CinemaFrame™. And judging from the level of interest the company received from integrators – the company has hit the ground running in this, the official launch of an all-new product concept.
Nortek, Inc. announced late Thursday that it has called off talks with an unnamed party who had tendered an unsolicited offer. According to the Wall Street Journal and as we had previously reported, that suitor was United Technologies. Nortek stock closed Friday at $63.97/share or off 3.8%, on a day when the Dow was up .2%.
Seattle, WA-based AudioControl announced Wednesday that it is launching two all-new AV receivers in their Concert AVR line featuring Dolby Atmos surround technology and 7-channels of high-current, high-power amplification. These new models, the AVR-9 and AVR-7, are expected to ship sometime in fourth quarter of 2015.
Tipped off by a source, we have learned that the turmoil at Thiel Audio continues, as yet another wave of executives have arrived and departed – leaving the company ostensibly leaderless and seemingly adrift in the market. The revolving executive door at Thiel seems to be an annual event as we await news on yet another team to jump in the saddle…or into the fire, depending on your perspective.
