Patrick Spence has stepped down as Chief Executive Officer and Board member of US smart speaker maker and internet radio provider, Sonos, effective today (January 13).
The Board has appointed Tom Conrad, an independent member of the Board since 2017, as Interim CEO, also effective as of today.
Sonos said in its announcement on Monday (January 13) that the Board has initiated a search for its next CEO with the assistance of “a leading executive search firm” and is “committed to identifying a leader who will build on the Sonos legacy of innovation and excellence in serving its customers while also driving profitable growth”.
Spence’s departure from the company arrives six months after a fallout over its redesigned app, which was reportedly missing features at launch.
In August, the company laid off 100 employees, or around 6% of its workforce.
Sonos said that its leadership change is “unrelated” to the company’s fiscal Q1 (calendar Q4) results which will be reported on February 6, 2025, and for which the company said it “is providing no update at this time”.
In calendar Q3 (fiscal Q4) 2024, the three months ending September, Sonos generated revenues of USD $1.52 billion, which was down 8% YoY and driven, according to the company, “by softer demand due to challenging market conditions and challenges resulting from our recent app rollout”.
“On behalf of the Board, I want to thank Patrick for his contributions as CEO,” said Julius Genachowski, Chair of the Board of Directors, commenting on Spence’s departure from the company.
“During his tenure, Patrick built on our pioneering success in wireless home audio and led the Company’s expansion into premium audio for home theater, portables, and headphones. We appreciate Patrick’s dedication to Sonos.”
“Tom’s mandate is to improve the Sonos core experience for our customers, while optimizing our business to drive innovation and financial performance.”
Julius Genachowski, Sonos Board
Genachowski added: “Tom’s mandate is to improve the Sonos core experience for our customers, while optimizing our business to drive innovation and financial performance.
“With his deep product expertise and long-term relationship with Sonos, Tom is uniquely suited to guide the company forward during the transition and the Board looks forward to partnering with him closely. We are excited about the opportunity ahead.”
“I am deeply honored to step into this role at such an important moment for Sonos.”
Tom Conrad
“I am deeply honored to step into this role at such an important moment for Sonos,” said Conrad.
“Nearly two decades ago, when I led the earliest initiative to integrate Pandora and Sonos, I got my first glimpse of the magic that Sonos could bring to millions of lives every day.
“I am excited to work with our team to restore the reliability and user experience that have defined Sonos, while bringing innovative new products to market. Together, we will focus on delivering extraordinary experiences for our customers and strong results for our shareholders.”Music Business Worldwide