“Eyes forward, no more looking back,” that is the message that Todd Brooks, CEO of FalconStor Software, is conveying to his team at FalconStor. The company has undergone major changes in recent times, and back in August, they announced the appointment of their new CEO and CFO as part of the reorganisation efforts to turn the company’s fortunes around. And now that the bulk of the big changes and restructuring is behind them, said Todd, it’s time to rebuild.
Todd explained, “FalconStor has a rich and long history of providing really innovative and differentiated products to government agencies and large enterprises. If we expect to return the company to where it was several years ago, we have no choice but to restructure – to kind of reset our strategy, to make sure that we’re operating the company profitably and that we have a strong financial foundation in order to get back to where we need to get and begin to grow again. And without that step of really stabilising the company financially and getting ourselves to a firm foundation, it’s really hard [to do so].”
Despite all the major changes, Todd asserted that the core values of FalconStor will remain pretty much intact. However, going forward, they will be focusing on really getting to know their customers and improving on their existing products. “We will get more involved with our customer base and learn more about what drives their business. And as we do that, we will learn how our products need to morph over time in order to deliver more value. My expectation is that with the innovation and power that we have in our products, one of the things that we’re going to work on is making it simple, to make our powerful software even easier to use, and even faster. So fundamentally, [we’re still] the same company. But if we don’t understand how we need to innovate over time, then it’ll be hard to rebuild the company,” he said.
Todd was briefly in Kuala Lumpur last week, as part of his tour in APAC to meet with clients and partners in the region. He stated that the Southeast Asian market has always been very important for FalconStor and they hope to continue to grow their presence here. “What’s been really encouraging to me is that they [FalconStor partners and clients] are very optimistic about our ability. They’re very optimistic because they know our product, and because they’ve used the product for a very long time. All they want to be ensured of is that we’re going to be here for a long time and we’re going to continue to innovate. And so what we’ve seen happen already is, as we begin to talk to people and reassure them about the future, they’re starting to re-engage. If we haven’t significantly grown the business here and in the broader APAC region in the coming year, I’ll be really disappointed.”
All in all, we got the sense that Todd was both optimistic and realistic about where FalconStor is headed. The company is making good progress financially and after a turbulent period, he believes that they’re close to turning things around. “My big message is, listen to the earnings call in a couple of weeks. I obviously can’t get into details in advance of that disclosure, but I think it’ll be very interesting.” Todd concluded, “I’m very happy with the early progress [we’ve made so far]. We have a great future ahead of us, but the message is eyes forward. It's not going to be easy. We have a lot of hard work to do, but it’s future work, it’s not the past work.”
With the vast experience that Todd and his management team has to offer, we believe FalconStor is in good hands and we wish them all the best.