Sources are telling Strata-gee that movie media server specialist Kaleidescape is undergoing a new round of turmoil, terminating manufacturer sales representatives and executives. Reports from multiple sources indicate the company is undergoing some type of transformation. However, details are sparse as to just exactly what is transpiring there. I asked Kaleidescape for comment and they responded.
See what we know about the actions Kaleidescape is taking so far
As long-time Strata-gee readers know, I’ve been following Kaleidescape for years – since at least 2014. The company is widely respected for its media server technology, a category in which it has been an industry leader since its founding.
However, original founders Michael Malcolm and Cheena Srinivasan were notoriously difficult to work for. Especially in the case of the more mercurial Srinivasan, who was named CEO in 2014, the company seemed to be regularly engaged in succeeding rounds of dramatic personnel changes – especially regarding sales managers and salespeople.
When Founders Exited, Things Quieted Down…for Awhile
Then, a little over a year ago, I reported that the company had a new investor named Tayloe Stansbury who was taking over the reins as Chairman and CEO. At that time, both Malcolm and Srinivasan left the company to move on to new pursuits.
For a while, things seemed to settle down. It appeared from the outside that Stansbury was pumping money into the company as product development seemed to accelerate. The company even engaged in a more vigorous marketing campaign – even sponsoring the keynote presentation at the recent CEDIA Expo 2022 event.
Multiple Manufacturer Sales Representative Firms are Terminated
Now, I am hearing from sources all around the country that the company is terminating manufacturer sales representative firms in an explosion of new commotion. I have also heard – but not yet confirmed – that one or more regional sales managers have been terminated as well.
I reached out to Kaleidescape for a reaction to my many questions and received a prepared statement in response. That statement is reproduced below in its entirety…
Over the past year, Kaleidescape has seen strong double-digit sales growth and recently announced two new award-winning products which received significant recognition coming out of CEDIA Expo 2022. We also recently announced that Priscilla Morgan, who had served for some time on our board, joined the company as chief operating officer. Kaleidescape has and will continue to make business and go-to-market changes that we feel will serve dealers and customers best.Kaleidescape company spokesperson
Kaleidescape attributes the signals I’m receiving as due to their recent “go-to-market changes.” I pushed a little harder and the company acknowledged that it has – as they put it – “changed manufacturer sales representative firms in selected territories.”
So there certainly is some type of sales restructuring going on. Last month, the company announced that it has appointed Priscilla Morgan as its new Chief Operating Officer. Morgan comes to the company with more than 25 years of experience with companies like Dolby and Oracle. She has been charged with responsibility for Kaleidescape’s sales, marketing, content licensing, customer support, and customer engagement.
Little Communication to the Field as to the Plan
It’s possible that new COO Morgan is changing out the salesforce she inherited for one that is more familiar. That is certainly not uncommon, although the changes are being made on an unusually large scale. Furthermore, there has been little-to-no communication with dealers in the field as to what exactly is the plan.
In the wake of all of this recent activity, I pointed out to the company that in some areas Kaleidescape appears to be in-between named representative organizations. Their spokesperson told me that for those situations, they “have sales teams in region to ensure coverage,” presumably referring to company-employed sales staff and sales management coverage.
Company Provides a Contact for Concerned Dealers
Kaleidescape declined to address my questions on executive terminations. However, it says that if any dealer has questions about sales, they should reach out directly to the company at email@example.com.
Learn more about Kaleidescape by visiting kaleidescape.com.