Less than a month after announcing that it would lay off more than 1,000 of its employees, Zoom Video Communications said that it fired Greg Tomb, the company’s president of less than a year.
Zoom in a U.S. Securities and Exchange Commission filing dated February 28 said that it was terminating the employment of Tomb effective March 3 and that the executive had been let go “without cause.”
CRN has reached out to Tomb for comment. A spokesperson for the company told CRN that Zoom isn’t looking for a replacement for Tomb’s position and that the company is not providing further comment at this time.
“Mr. Tomb will receive the severance benefits payable in accordance with his previously disclosed employment arrangements that are payable upon a ‘termination without cause,’” Zoom said in its filing.ADVERTISEMENT
Tomb was brought on as Zoom’s president in June 2022 to oversee the company’s go-to-market strategy, revenue efforts, and office of the global CIO. He reported directly to Zoom CEO Eric Yuan.
Zoom’s leadership in the video collaboration space over the last three years began to wane as the impressive revenues seen during the pandemic began to fall off toward the end of 2022. The company’s most recent fiscal quarter, which ended January 31, saw 7 percent growth compared to 55 percent growth in 2021 and a whopping 326 percent growth in 2020.
In February, the company announced that it was be reducing its staff by 1,300 employees, or about 15 percent of its staff. CEO Yuan also announced that he was reducing his salary for the coming fiscal year by 98 percent and foregoing his FY23 corporate bonus. Members of Zoom’s executive leadership team will reduce their base salaries by 20 percent for the coming fiscal year while also forfeiting their FY23 corporate bonuses.
Prior to joining Zoom, Tomb had more than 20 years of experience in the tech field, having most recently served as vice president of sales for Google Workspace, Security and Geo Enterprise. He also spent nearly a decade at SAP in various leadership roles.
Zoom’s stock fell early on Friday when news of the termination broke. But the stock recovered in the late afternoon, up .25 percent.
Gina Narcisi is a senior editor covering the networking and telecom markets for CRN.com. Prior to joining CRN, she covered the networking, unified communications and cloud space for TechTarget. She can be reached at [email protected].
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