A shocker but a move five years too late: Rob Glaser, the founder and CEO of RealNetworks (NSDQ: RNWK), is stepping down as the leader of the company after 16 years. The pioneering online video company has appointed Robert Kimball, who till now was the corp EVP, as president and acting CEO; he has also been appointed to the board. A formal search for a new CEO will start now, and Kimball will be a candidate as well, a RealNetworks’ spokesperson tells me. Glaser will remain as the chairman of the board; he is also the single largest shareholder of the company.
The company said Glaser will step away from day-to-day activities, and focus on spending time with family, and his various philanthropic and political interests. He is a big democratic supporter and one of the founders of Air America, among others. I would not be surprised to see him running for some public office someday soon.
Staci adds: When I last saw Glaser Friday evening, he was pulling an overnight bag through The Palazzo in Las Vegas, headed first to a party and then home to his wife, who is expecting their third child, and his young twins. He was exhausted and exhilarated at the same time, ticking off all the meetings he’d accomplished during a quick couple of days. Not even a glimmer of a sign that he was ready to stop the day-to-day drill (which I find hard to believe is possible) or that he was even considering it. Strictly business as usual.
So did he jump or was he pushed? Over at All Things D, John Paczkowski citing unidentified sources says, yes, the board told Glaser it was time to go and he finally agreed. I’m getting calls suggesting the same. It wouldn’t be the first time a board has had to tell an entrepreneur he’s not the best one to run his company. Maybe more boards should do just that. Real insists this is Glaser’s choice.
It’s the second senior executive change for Real in as many days. The company announced Tuesday that COO John Giamatteo is leaving effective April 2, but says the two moves are unrelated. (The decision on whether to replace him is pending.) Not everyone is convinced. I’ve heard from multiple people who believe that was the last straw in some way.
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SEATTLE – January 13, 2010 Digital entertainment services company RealNetworks, Inc., (Nasdaq: RNWK) announced today that founder Rob Glaser has stepped down as CEO. He will remain chairman of the board of directors of RealNetworks. The company also announced that its board of directors has appointed Robert Kimball president and acting chief executive officer. The board also appointed Mr. Kimball to the board of directors.
“After nearly 16 years, I’ve decided it’s time for me to step away from day-to-day operations,” said Glaser. “I’m grateful to all of our stakeholders – customers, partners, shareholders, and most of all, employees – for the support and commitment they’ve given to RealNetworks. I remain committed to the company and look forward to continuing to serve in my capacity as board chairman.”
In February 1994, Mr. Glaser founded what was then known as Progressive Networks, a pioneer in the field of digital audio and video technology for the Internet. Under his leadership, Real has grown into a multinational company, providing digital entertainment products and services to hundreds of millions of consumers around the world.
“Few people have changed an industry and created a unique experience for billions of people,” said Jonathan Klein, a board member of RealNetworks and the co-founder and CEO of Getty Images (NYSE: GYI). “Rob has changed the face of digital entertainment with RealNetworks’ streaming media products. At the same time Rob has had a profound impact on politics and philanthropy. I’m sure he will continue to do this extraordinary work as well as spending time with his wife and young children. We are grateful for all he has done for the company, the industry and employees, and are pleased that he will continue to serve on the board.”
Bob Kimball joined the company in 1999 and has been a member of the senior executive team since 2003. He most recently served as general counsel and executive vice president of corporate development at Real. “In the decade he’s been at Real, Bob has proven to be an outstanding business executive and leader, and under his leadership the company won’t skip a beat,” said Mr. Glaser. “Our board has great confidence in Bob, and he will be a candidate for the permanent CEO position as part of a formal search process that will begin soon.”
“I look forward to the opportunity ahead,” said Mr. Kimball. “Real has a great team in place, a strong financial position, close customer relationships and fantastic products. We plan to transform Real into a more focused and more profitable company that delivers value to our shareholders.”
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