The managing director of Psion Computers Plc, Harold Goddijn, has resigned after a year of poor sales and a lack of market penetration in the US. Psion Computers, the retail arm of London, UK-based palmtop computer maker, Psion Plc, is losing market share in a sector that is generally perceived to be one of the most buoyant in the market.
Peter Bancroft, head of corporate communications, identified two main reasons why the flagship subsidiary saw sales dip 16% last year. Psion needs to bring new products to market, he explained. He said that it is currently marketing the Series 5 but has not introduced a new product for 18 months. On top of this, the subsidiary has a very low profile in the US, having not managed to expand beyond its European heartland. And the testing time for Psion is not over yet. According to Bancroft the first half of 1999 is expected to be another rough ride for the computer division.
Sources close to the company commented that Goddijn had stepped down because, it wasn’t going right enough, fast enough. Although, the problems can hardly come as a surprise to Psion shareholders. The company forecast a slow first half to the year back in March (CI No 3,611). Graeme Simons, director of the commercial division at Packard Bell NEC UK, which makes PDAs based on Windows CE, commented that Psion has a huge fight on now because of the increasing proliferation of handheld devices.
The crunch time for Psion will come when it releases two new devices based on the EPOC operating system later this year. The firm also plans to launch a version of the EPOC operating system with a Java virtual machine in the fourth quarter. Details about the new products are currently sketchy, but they are expected to based around a wireless internet device concept. Revenues from devices based around technology from the much-hyped Symbian Consortium, of which Psion is a member, are not expected to come on stream until next year.
Goddijn, who originally built up Psion’s subsidiary in the Netherlands, has also stepped down from the firm’s board. David Levin, CEO of Psion Plc, will take up the post of acting managing director for the subsidiary.
