A recent article on TechCrunch about layoffs at Sonos caught the audio industry by surprise. Whenever it wants an example of “how to do it right,” much of the industry looks to Sonos. In just a little over a decade, Sonos has gone from a few guys in an office in Santa Barbara to a company with $1 billion in annual sales. Not only has Sonos kept up with the latest trends in music consumption, in some cases it has led them. So the news that the company is undergoing a major shift in direction shook up high-end audio manufacturers who would give their last EL34 for even a small fraction of Sonos’s success.
Apparently, Sonos isn’t shrinking, it’s adjusting. Two trends are pushing the company in new directions.