Latest News: Technology |  Celebrity |  Movies |  Apple |  Cars |  Business |  Sports |  TV Shows |  Geek

Trending

Filed under: News | Technology News

 

37Signals No More - Changes Name To Basecamp And Drops All Products But Its Namesake

Feb 5 2014, 2:36am CST | by

1 Updates
 
 

YouTube Videos Comments

Full Story

37Signals No More - Changes Name To Basecamp And Drops All Products But Its Namesake

37Signals has always been a different sort of a company. 15 years of existence has seen it launch a plethora of products and also create (and later open source) the immensely popular Ruby on Rails development framework. They’ve written books, blogged extensively and generally done things different to what we’d expect of a fast growing technology company.

It’s interesting to compare 37Signals with Atlassian, a not entirely dissimilar company that makes tools for developers. But while Atlassian has grown to several hundred people, attracted VC money and talk of an impending IPO, 37Signals is still, after all this time, a 43 person shop.

So doing things differently is well and truly in the DNA of the company. And so it is today with the surprise announcement that 37Signals is changing its name (to Basecamp, it’s most successful commercial product) but, more importantly, dropping all its products other than Basecamp.

In a blog post announcing the move, CEO Jason Fried claimed that all those different products, combined with a small team, have made things a bit scattered. Alongside that Fried clearly enjoys working with a small team:

…we’ve always enjoyed being a small company. Today we’re bigger than we’ve ever been, but we’re still relatively small at 43 people. So while we could hire a bunch more people to do a bunch more things, that kind of rapid expansion is at odds with our culture. We want to maintain the kind of company where everyone knows everyone’s name. That’s one of the reasons why so many of the people who work at 37signals stay at 37signals.

So today that all ends. All 43 staff will be solely focused on Basecamp the product – helping to support and grow the customer base (which already sits at a healthy 15 million customers).

In terms of what it means to the other products (in particular Campfire and Highrise), Fried advises that short term nothing will happen but that long term they will either spin them off into separate companies, sell the products outright or continue supporting existing customers indefinitely (but not take on new customers). According to Fried Campfire and Highrise will likely sell for single digit and tens of millions respectively and there are already discussion occurring with interested parties about acquisition potential.

It’s a ballsy decision – they’ve potentially created a fire-sale situation for their products, alongside some potential disquietude from customers – that said, 37Signals as it was known has always made strange decisions that they’ve been able to make work. Perhaps this is another one of those times.

In some ways its a sad day for 37Signals. but at the same time it’s an exciting day for the new Basecamp company. Onwards and upwards.

Source: Forbes

 

You Might Also Like

Updates


Sponsored Update


Advertisement


More From the Web

Shopping Deals

 
 
 

<a href="/latest_stories/all/all/31" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

 

Comments

blog comments powered by Disqus

Latest stories

Miley Cyrus: Good Girl gone Bad!
Miley Cyrus: Good Girl gone Bad!
A Wild Child who is not the least bit Mild…
 
 
Getty Images
Courteney Cox at 50: 'Friends' star dazzles in smoking-hot bikini
The adorable actress, known for her role in U.S. sitcom, "Friends," is making waves in a 50-is-the-new-21 way.
 
 
George Takei came out because of Arnold Schwarzenegger
George Takei came out because of Arnold Schwarzenegger
Legendary Star Trek actor reveals why he came out. The reason is no other than Terminator actor Arnold Schwarzenegger.
 
 
Miss America 2014 Parade to Feature First Ever 3D Printed Shoes
Miss America 2014 Parade to Feature First Ever 3D Printed Shoes
Thanks to Maggie Bridges and Georgia Tech, we will see the first 3D printed shoes on the stage of the shoe parade
 
 
 

About the Geek Mind

The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.

The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.

Read more about The Geek Mind.