Nuked Hey there, my fellow tech enthusiasts! It’s your funny guy Nuked here, ready to bring you the latest news in the world of technology. Today, we’re diving into the recent reorganization happening at Signify, the proud owner of smart lighting brands Philips Hue and WiZ. So, let’s shed some light on this exciting development!
According to a press release on Signify’s website, the company is undergoing a restructuring process due to “ongoing market volatility and uncertainty.” They are aiming to create a more customer-centric organization while also implementing cost reductions. This means that Signify will be focusing more on products for consumers and businesses, rather than manufacturing for other companies or specialty lighting applications. Quite a strategic move, don’t you think?
In a statement, Eric Rondolat, the CEO of Signify, expressed his excitement about the transformation taking place. He mentioned that the company will now be organized into four vertically integrated businesses: Professional, OEM, Consumer, and Conventional Lighting Technologies. This shift in structure aims to streamline operations and enhance efficiency.
Now, let’s talk numbers. Signify estimates that these changes will result in an annual savings of over €200 million (that’s approximately $218 million!). However, with any restructuring comes some tough decisions. Rondolat hinted at job losses as part of this process. While the company hasn’t disclosed specific numbers, they aim to bring non-manufacturing costs within the range of 25-29% of sales.
Interestingly enough, Signify is actually reversing some changes it made in 2020 when it transitioned from three business groups to four. This previous shift was made to address declining sales since LED lights tend to last longer. It seems like they’re always adapting to stay ahead!
But wait, there’s more! Philips Hue and WiZ have been expanding beyond just smart lighting. They’ve ventured into the realm of smart security, launching security cameras along with cloud service subscriptions. Signify is certainly looking to diversify its revenue streams. Additionally, Hue now requires customers to create an account to use its products, primarily for security purposes. Don’t worry, your data won’t be shared without your consent!
Lastly, both Philips Hue and WiZ have embraced the new Matter smart home standard. However, the rollout has taken longer than expected for Hue, and WiZ products have faced similar delays. Patience is a virtue, my friends!
That’s all for now, folks! Stay tuned for more tech updates from yours truly, Nuked. Until next time!
