Colorado vNet Executive Buys Company from Russound
Russound’s on-again, off-again relationship with Colorado vNet took a more decisive turn Wednesday with the announcement Russound has sold off Colorado vNet to a company formed by its sales and marketing vice president, Mike Anderson. Colorado vNet integrators have “needs unique to themselves” and the opportunity to set the company apart “under its own direction once again” gives the integrators the “support they deserve,” Anderson said in a statement Wednesday.
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Anderson said he looked forward “to reestablishing the vNet brand and dealers can be assured that our team is excited and working hard to strengthen our relationships with them and to deliver on all the promise the brand has always held.” In the same release, Russound CEO Charlie Porritt said Russound’s 2012 plan “focuses on getting back on track with its core business” selling electronics, speakers and accessories to the residential and commercial systems integration channels. Terms of the deal, which is effective immediately, were not disclosed.
Russound acquired Colorado vNet in October 2009, and then quietly, but abruptly, shut down sales and marketing of Colorado vNet at the end of 2010 (CED Dec 30/10 p1). Porritt said then that the company would reassess Colorado vNet product “as it relates to the evolving custom install market and focus on R&D for the future.” Two months later, Porritt told journalists that in response to “overwhelming feedback from dealers,” Colorado vNet was “back.” In an interview last April Porritt told us the December 2010 decision was about taking “a step back and assessing the situation” and that Colorado vNet was transitioning manufacturing from its Loveland, Colo., facility to Russound contract manufacturers and consolidating product development with Russound. R&D would remain in Loveland, he said.
In Colorado vNet’s new incarnation, Anderson is relocating the company’s headquarters to Florida in June, according to the statement. It wasn’t clear where R&D would be housed. The transition for Colorado vNet dealers, distributors and sales firms will be “seamless,” the companies said, “as the Russound/Colorado vNet team is committed to maintaining all business operations.” Colorado vNet will continue “as normal” with order processing, sales, marketing and technical support “from the current Colorado vNet headquarters,” Anderson said. A company spokesman told us Colorado vNet is currently based in Loveland.