- A US-based Tier 1 carrier customer canceled the contract for Smith Micro Software, Inc SMSI Family Security Solution effective June 30, 2023.
- Smith Micro Software will remain committed to providing services under the Agreement for a transition period of up to 180 days beyond June 30, 2023.
- The Company expects to take steps to reduce the costs associated with the affected customer agreement and reallocate certain resources to other Tier 1 US carrier customers and its non-US customers
- “We were surprised to receive this communication from our client, and while we are disappointed, we believe we have positioned the company well over the past few years to diversify our overall client base,” said William W. Smith Jr., President, and CEO of Smith Micro.
- “We will also accelerate the cost savings initiative launched last year to better align our cost structure model as we seek to return the business to growth and profitability,” added Smith.
- Price promotion: SMSI shares traded 44% lower at $1.40 on the last check Monday.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Published in:
[ad_2]
Source story
