Qumu Corp., a Minneapolis-based provider of videoconferencing tools and services, decided to close most of its offices after remote working became a staple for many businesses because of the pandemic.
"We believe it is important to be one of the first companies in our space to acknowledge this fundamental change in the workplace dynamic and leverage the technology we provide to make it happen," TJ Kennedy, who became chief executive of Qumu this summer, said in a statement this week.
The company has just over 100 employees and provides technology and services that businesses use for employee collaboration.
In addition to Minneapolis, Qumu will close offices in London and Hyderabad, India, as part of the policy that Kennedy called "Work from Wherever, Forever." Instead, it will lease space at co-working sites in the three cities. Qumu will keep an office in Burlingame, Calif.
Kennedy said he thinks the move will also help in employee recruitment and retention.
The company will provide employees with a stipend to purchase equipment and make improvements to their home offices and work spaces. The company also said it would provide remote teams with new tools to enhance collaboration. The company will help coordinate physical meetups and social gatherings, when and where appropriate during the pandemic.
Qumu expects to spend about $700,000 to $900,000 to end current office leases and write down costs of equipment and furniture. In addition, it estimates it will spend approximately $300,000 a year in the work-at-home stipend for employees.
Qumu's stock has more than doubled this year as the shift to work-from-home has increased the demand for videoconferencing, on-demand video training and virtual conferences.
