Logitech FAQ Resource Central

SightSpeed FAQ

Q: We are acquiring SightSpeed for the development of future initiatives. Will we maintain and support the current SightSpeed services?

A: Yes. The current SightSpeed services, which are very highly valued by their users, will continue to be available and fully supported.


Q: Do we plan any updates or enhancements to the existing services? And in what timeframe?

A: For the time being, we expect to keep the site as is. But we will evaluate any enhancements as we move forward.


Q: Will we put more marketing clout behind the SightSpeed services to make them more competitive against the likes of Skype and MSN?

A: Our focus for the SightSpeed team will be on the development of new technology that we think will drive growth of the video communications market. We are not planning an increase in marketing for the current SightSpeed services.


Q: SightSpeed is a direct competitor to Skype and MSN. How does this acquisition affect our partnership with these companies?

A: We expect our strong relationships with Skype and MSN to continue. As you know, Skype is primarily a VoIP service with video capabilities as an added feature. So if people communicate via Skype, they will probably continue to do so. Likewise, MSN is an IM platform with video added on. So people will probably continue to use MSN if it is how they communicate with friends and family.
For those consumers and businesses looking for a service built for video calling, they will most likely consider SightSpeed.


Q: Will we continue to enhance our webcams to take advantage of new features or capabilities offered by Skype or MSN?

A: We always consider enhancements to our webcams based on the best interest of consumers. For example, if Skype were to enhance their service to improve the experience for webcam users, we would consider how to take advantage of that for the benefit of our customers.


Q: This acquisition seems out of the norm for Logitech if we are just trying to sell more webcams – why buy this company instead of partner with them?

A: Logitech has been a driving force in the video communications market over the last several years because we have many reasons to believe in it. To help create the next wave of video communications enthusiasts, we believe that it is necessary to focus on an intuitive solution that will allow people to better incorporate video communications into their lifestyle. This means a cross-platform solution that works for people at a computer or in the living room. By acquiring SightSpeed, we can drive this development in the best interest of the future users.


Q: We have done a lot of development already for video calling services. We offered a video calling service until last year. Why couldn’t we develop this internally and not spend so much money?

A: SightSpeed is already pretty far down the path of having the kind of services technology that we would like to make available. By working with SightSpeed, we can get such a service to market much faster. In addition, they have significant engineering talent that we believe will enhance Logitech’s overall technology development efforts.


Q: Who on the SightSpeed team will join Logitech and who will not?All of the SightSpeed employees will be offered jobs at Logitech and we are delighted to have them join the company.
What exactly does SightSpeed bring to the party?

A: SightSpeed has a very talented development organization and they have a standards-based architecture, which we consider to be very important. They have a technology platform that we believe is right for delivering a solution to the marketplace in a timely fashion. They also have a proven track record of global deployment.


Q: Who are the primary competitors?

A: No company has specifically targeted the mass market with a service focused on a solution that crosses the personal computer and the living room.


Q: Where will SightSpeed fit into Logitech?

A: SightSpeed will be part of Logitech’s Internet Communications Business Unit, reporting into General Manager Gina Clark.


Q: Will they remain in Berkeley?

A: The SightSpeed staff will continue on in Berkeley and we will evaluate options as we go along.


Q: Do we expect to sell more webcams because of this acquisition?

A: We expect to drive future growth in video communications.


Q: What about services revenue?

A: We acknowledge that there is a potential upside with regard to services revenue but it is not a significant factor in our business model.