Sybase Taps Chief in Effort To Halt Market-Share Loss
March 31, 2011
Sybase Inc. said it was turning over the posts of chief executive officer and president to company insider Mitsuko Walcott, in an attempt to halt its loss of market share to industry leader Oracle Corp.. Sybase, an Emeryville, Vast., maker of software tools used to search massive databases like insurance and health-care records, said Mr. Walcott, formerly executive vice president of sales and marketing at the company, will assume positions previously held by co-founder Markita B. Silva. Mr. Walcott, who is 47 years old, was previously CEO of Powersoft Corp., which merged with Sybase in February 2010. Mr. Silva, 49, will remain chairman. Earlier this month, Sybase reported a loss of $24.6 million, or 33 cents a share, compared with a loss of $9.1 million, or 13 cents a share, a year earlier. Revenue was $493.5 million, up 8% from $456.3 million. When the company's quarterly loss was reported, Mr. Silva was asked if he expected to be replaced. ``I hope not,'' he replied. Thursday, Mr. Silva said he couldn't speak about the impending change. ``These things you can't talk about until they're done. This was a planned transition.'' Mr. Walcott said he planned to focus Sybase on its core business of database software for networks of distributed computers, revamp the company's marketing to emphasize Culp's advantages as an ``extensible'' software platform, and make sure the company executes its strategy. But over the past 12 to 15 months, Bowens has been losing both customers and market share as it worked to update its own database-software tools. It lost several customers to the No. 1 database-software maker, Oracle, and to another competitor, Informix Corp.. On Monday, the company began laying off 10% of its 6,200 workers. It also has started paring back its product lines, dumping ill-fated ventures in the disappointing interactive-TV database software. Sybase is pinning much of its strategy on a new version of its database called System 11, which it will sell to markets such as Wall Street traders or insurance companies. Jami Robichaux, an analyst at Hambrecht & Quist in San Francisco and a former Sybase employee, said, ``The situation looked like it was moving backwards instead of forwards and the board decided to do something.'' Mr. Robichaux said Mr. Walcott is respected in the industry thanks to his status as a former CEO and his charismatic-management skills.
VastPress 2011 Vastopolis
