Rosetta Stone (company)

Rosetta Stone Inc.
Public
Traded as NYSE: RST
Industry Software development
Predecessor Fairfield Language Technologies
Founded Harrisonburg, Virginia, USA (1992)
Headquarters Arlington, Virginia, USA
Area served
 Worldwide
Key people
 Stephen Swad (CEO)
Tom Pierno (CFO)
Products Rosetta Stone Rosetta Stone Rosetta Stone Rosetta Stone Rosetta Stone
Revenue Decrease $264.6 million (2013)
Decrease ($18.4) million (2013)
Decrease ($16.1) million (2013)
Total assets Increase $290.8 million (2013)
Total equity Decrease $131.2 million (2013)
Owner ABS Capital Partners
Northwest Equity Partners
Number of employees
 1,375 (2014)
Website rosettastone.com

Rosetta Stone Inc. is a global education technology company software company that develops language, literacy and brain-fitness software solutions that are used by millions of individuals and thousands of schools, businesses, government organizations around the world. Best known for its Rosetta Stone Language-Learning solutions products products, in 2013 the company expanded beyond language and deeper into education-technology with its acquisitions of Livemocha, Lexia Learning, Fit Brains and Tell Me More.[1]

History

According to the company, founder Allen Stoltzfus learned German through immersion while living in Germany, and found it relatively easy. In the 1980s, Stoltzfus began learning Russian in a classroom setting, but found the classroom setting much more difficult. He wanted to simulate the German experience, and he decided to use computer technology to create a similar learning experience. He enlisted the aid of his brother-in-law, Dr. John Fairfield, who held a PhD in computer science.

By 1992, CD-ROM technology made the project possible. They formed a company known as Fairfield Language Technologies in Harrisonburg, Virginia. Allen and John hired Eugene Stoltzfus (Allen's brother), Greg Keim and Michael Silverman. They released their software product under the title The Rosetta Stone. In 2003, the company announced the hiring of Tom Adams, a businessman with international experience, as President and CEO.

In 2006, the company changed names to Rosetta Stone, Ltd., and converted from an S corporation to a C corporation. Ownership transferred to investment firms ABS Capital Partners and Northwest Equity Partners. On 23 September 2008, Rosetta Stone Inc. filed an Initial public offering with the Securities and Exchange Commission.

Since the 15th April 2009, the company is listed as the Rosetta Stone at the New York Stock Exchange. Since 2012, the company's president and CEO is Stephen Swad.[2] Swad is leading Rosetta Stone's transformation to a cloud-based business model that goes beyond language learning and deeper into education technology. Under Steve's leadership, the company expanded to Brazil, the Middle East, and, in 2013, acquired four companies: the creators of the Fit Brains Trainer, Vivity Labs Inc.;[3] online language-learning community, Livemocha;[4] international language company Tell Me More;[5] and reading technology company, Lexia Learning.[6]

The company's headquarters are situated across the Potomac River from Washington, D.C. in Arlington, VA, and it has offices around the world.

On September 17, 2013, Rosetta Stone announced the launch of a new Kids Division [7] and in November, 2014 it debuted its first kids reading program for consumers, Rosetta Stone Kids Reading.[8]

IPO

On April 15, 2009 Rosetta Stone raised $112 million in its Initial Public Offering of stock, with shares valued at $18.00.[9] In its first full day of trading on the New York Stock Exchange, the stock performed strongly, closing at $25.12 per share, up 39% from its opening price.[10] After a strong opening, however, the stock stumbled amid reports of weaknesses in Rosetta Stone's US business, resulting in the cancellation of a second offering, and a disappointing year end price just 5 cents off its opening price.[11] The stock trades under ticker symbol RST.[9][10]

Offices

Endangered language communities

In 2004, Rosetta Stone Ltd. established its Endangered Language Program to contract with endangered language communities interested in custom software development to support language revitalization efforts.[12]

Support for the Combating Online Infringement and Counterfeits Act

Rosetta Stone was among a group of companies signed to a letter supporting Combating Online Infringement and Counterfeits Act (COICA), a bill which opponents argue amounts to censorship.[13]

Awards

References

  1. ↑ http://www.bizjournals.com/washington/blog/techflash/2013/12/rosetta-stone-to-buy-vivity-labs.html
  2. ↑ http://www.rosettastone.com/leadership
  3. ↑ http://www.marketwatch.com/story/rosetta-stone-to-acquire-fit-brains-creator-vivity-labs-will-enter-fast-growing-brain-training-market-2013-12-19
  4. ↑ http://www.forbes.com/sites/karstenstrauss/2013/04/02/rosetta-stone-acquires-livemocha-and-expands-its-reach-in-the-cloud/
  5. ↑ https://www.edsurge.com/n/2013-12-11-rosetta-stone-acquires-language-learning-company-plans-to-buy-others
  6. ↑ http://thejournal.com/articles/2013/07/25/rosetta-stone-acquires-lexia-learning-for-22.5-million.aspx?=THE21
  7. ↑ http://pr.rosettastone.com/phoenix.zhtml?c=228009&p=irol-newsArticle&ID=1855369
  8. ↑ http://www.bizjournals.com/washington/blog/techflash/2014/11/rosetta-stone-makes-big-step-into-education-tech.html
  9. ↑ 9.0 9.1 CNBC Article Covering the IPO, retrieved 4/17/09
  10. ↑ 10.0 10.1 Stock Coverage of Rosetta Stone at Wikinvest
  11. ↑ Sydney Morning Herald Overview of 2009 Stock Performance, retrieved 2/01/10
  12. ↑ Associated Press. "New software to aid in keeping Navajo language alive." SantaFeNewmexican.com. Jan 06, 2008. (accessed July 06, 2008).
  13. ↑ Sandoval, Greg (January 18, 2011). "Senator who opposes antipiracy bill under pressure?". CNET News (San Francisco, California). Retrieved July 21, 2011.
  14. ↑ 14.0 14.1 14.2 "2014 winners, users' choice and finalists". Retrieved 11 December 2014.
  15. ↑ "Academics' Choice Award Winner". Retrieved 11 December 2014.
  16. ↑ "Academics' Choice Award Winner". Retrieved 11 December 2014.
  17. ↑ "Academics' Choice Award Winner". Retrieved 11 December 2014.
  18. ↑ "Academics' Choice Award Winner". Retrieved 11 December 2014.
  19. ↑ "Academics' Choice Award Winner". Retrieved 11 December 2014.
  20. ↑ "Rosetta Stone Business Solution Wins Coveted Elearning! Award". Retrieved 11 December 2014.
  21. ↑ "Rosetta Stone Kids Smartphone App Wins Heralded iKids Award". Retrieved 11 December 2014.
  22. ↑ "Lexia Reading Core5 Presented with 2014-2015 eSchool News Readers' Choice Award". Retrieved 11 December 2014.
  23. ↑ "2012 Stevie® Award Winners". Retrieved 11 May 2012.
  24. ↑ "Marketing and Sales BFF". Retrieved 11 May 2012.
  25. ↑ "Washington SmartCEO Announces 2010 Fast Growth Companies". Retrieved 11 May 2012.
  26. ↑ "CFO of the Year Awards". Retrieved 11 May 2012.
  27. ↑ May 2012 "Rosetta Stone Inc.’s Tom Adams named Ernst & Young Entrepreneur Of The Year® 2009 overall national winner". Retrieved 11 May 2012.
  28. ↑ "2009 Top Simulation & Training Companies". Retrieved 11 May 2012.
  29. ↑ "Rosetta Stone Wins Multiple Awards for Innovation and Excellence". Retrieved 11 May 2012.
  30. ↑ "Rosetta Stone CEO Named Executive of the Year". Retrieved 11 May 2012.
  31. ↑ "Deloitte's 2011 Technology Fast 50". Retrieved 11 May 2012.
  32. ↑ "Deloitte's 2010 Technology Fast 500". Retrieved 11 May 2012.
  33. ↑ "2009 Deloitte Technology Fast 500 - Winners Booklet". Retrieved 11 May 2012.

External links