CEDIA Expo Exhibitor Exodus Accelerates; Sonos, Sound United Withdraw

Sound United and Sonos joined the ranks Friday of exhibitors pulling out of CEDIA Expo due to concerns over the COVID-19 delta variant. James Krakowski, Sound United vice president-commercial operations, told us Thursday the company was fully expecting to exhibit at the Sept. 1-3 show in Indianapolis “until last week” when infection rates across the country escalated, causing the company to put plans on pause. Friday, he told us he informed Expo owner Emerald that Sound United would pull out of CEDIA completely “due to the safety of my employees and their families.”

Sound United’s Denon, Marantz, Polk, Bowers & Wilkins, Heos, Definitive Technology and Classe brands won’t have any presence at CEDIA Expo, Krakowski said: “We are looking forward to being back together in 2022 at this point.” On what sealed the decision, Krakowski said he looked "at the infection rates and what’s going on across the U.S. today and what’s going on in Indiana." The Centers for Disease Control and Prevention list Indiana as "a hot spot for the delta variant," he said. "I decided it was best not to put any of my employees at risk.”

Sound United’s official letter to its partners Friday said the recent spike in COVID-19 cases caused the company “to re-evaluate the risks to our employees, dealers, and industry partners in attending major tradeshows and in-person events.” The company won’t have a booth presence, training or any employees present at the show, it said.

Sonos emailed Friday that its team is “extremely disappointed that we won’t be able to connect with our customers in-person after so much time apart, but our top priority will always be the health and safety of our employees, customers and partners.” The company cited the recent increase in COVID-19 cases and prevalence of the Delta variant, saying, “it became clear that the risks of exhibiting at a large trade show at this time were simply too high.” Sonos remains “deeply committed to the CEDIA community” and looks forward to when “we can safely see everyone again.” It plans to offer virtual training during the show, with more information to come.

Savant led the exodus among custom channel heavyweights, announcing Tuesday (see 2108100051) that it was pulling out of CEDIA Expo due to the “unpredictable Delta variant.” CEO Robert Madonna said the company was preparing “engaging virtual sessions” so it can share product news and informative content “to best support your businesses through these challenging times.”

Snap One pulled out of CEDIA Expo Thursday. In a statement, the company said it had been eager to attend CEDIA Expo to connect with business and industry partners and show its latest products, but “recent news about the COVID Delta variant and an increase in cases has caused us to re-evaluate the risks and benefits of attending a large, in-person event at this time.” As a result Snap “will no longer be attending the CEDIA Expo this year” and “will not have a booth presence, training, party, keynote, or employees present at the show.”

The decision was “difficult” for Snap, which owns Control4 and other brands, but “our highest priority is keeping our employees, partners, and families safe, and helping to minimize any factors that may negatively impact businesses,” said the company. “We don’t know how things will unfold over the next several weeks, but we believe it is important to make this decision now so individuals can plan accordingly." The company will connect with partners and industry representatives in coming weeks, it said.

LG told us Friday the company is “still monitoring the COVID situation as it relates to COVID and live events and will share any changes to our current plans for CEDIA if necessary when they are solidified." Sony and Samsung-owned Harman didn’t comment Friday on widespread reports they had withdrawn from the show.

The plans of numerous other companies were in the balance Friday, spokespeople told us, declining to comment for the record until decisions are finalized following a week of cascading notifications of exhibitor withdrawals. CEDIA Expo is “hanging on most likely for financial reasons,” said one, “but the pulse on all our clients and industry friends is, it is over.”

Emerald emailed Friday that CEDIA Expo 2021 “is still happening in person at Indianapolis.” The company put out a video via its CE Pro publication Friday with Emerald Executive Vice President Brian Pagel confirming the company's commitment to the show, saying it has 6,000 registrants and 250 exhibitor brands.

On whether it plans to expand a virtual press tour scheduled for Aug. 25 (see 2108090054) beyond the 10 companies selected, a spokesperson told us no. The company didn’t respond to questions on exhibitor cancellations. The spokesperson told us Tuesday that major brands that had committed to the show were still planning to participate, and the online show floor was up to date. Friday’s show floor plan for the Indianapolis Convention Center still showed Savant, Snap One and Sound United, all of which have canceled.

As of Tuesday, CEDIA told us 250 brands would be represented at Expo, about 50% of 2019 numbers, “but down approximately 40% lower in exhibit space.” Many international exhibitors aren’t participating this year due to COVID-19 travel restrictions, but plan to return for the 2022 show, scheduled for Dallas, the spokesperson said. She highlighted Crestron, which hadn’t exhibited at CEDIA expo since 2015, and was returning to the 2021 show.

High-end loudspeaker company Perlisten Audio told its dealers Friday it canceled plans to attend the trade event: "After much deliberation and regret, Perlisten Audio will not exhibit at CEDIA, nor will the brand hold demos and meetings off site,” said CEO Dan Roemer. “This decision did not come easy. However, considering the spread of the Delta variant of Covid-19, we are making this move to protect our customers and staff,” Roemer said.

The “tone has changed” about attending the custom electronics industry's premier trade show, one source told us, saying some exhibitors are unhappy with Emerald’s honor system stance on vaccinations, particularly with rising infection rates in Indiana. Emerald won't require proof of vaccination, a spokesperson emailed, citing CDC guidelines, plus health and safety regulations from the CDC, the state of Indiana and the Indiana Convention Center. The state website reported 2,721 new positive COVID-19 cases Thursday. The most-recent Expo health and safety plan says masks are mandatory and temperature checks will be conducted for all attendees daily. “No hugs or handshakes this year. CEDIA Expo has a no-contact policy in place,” it said.

Amid reports of cancellations, some CEDIA channel stalwarts doubled down on attendance. Origin Acoustics Chairman Jeremy Burkhardt affirmed his company's commitment to the show in a Facebook post Thursday. “We hope CEDIA will happen and exist,” he said, saying as of Thursday “we are all in with the crew. We might have only 5000 integrators vs 25,000,” but the company will be at CEDIA Expo “in force,” he said, “partying, sharing and showing new inventions during breakfast, lunch and dinner…after parties too. Get everyone to mask up,” he said, “and unless it gets way worse let’s do work, it’s time.”

After news of Savant’s cancellation Wednesday, John Clancy, Crestron executive vice president-residential, told us, “We’re going to be there,” saying the company had no plans to pull out unless it’s canceled or if certain rules, specifically around travel, go into place.” It’s important for Crestron, which last attended CEDIA Expo in 2015, to attend this year because “Crestron has changed a lot in the past six years,” and the industry has changed a lot, too, he said.

Crestron planned to go to CEDIA Expo in Denver last year before the show was aborted due to COVID-19. Its hardware and the user experience of its software require in-person demonstrations, Clancy said: “A virtual event doesn’t do any of that justice.” Last year, a virtual CEDIA was necessary because of COVID-19 restrictions, and everyone did the best they could under the circumstances, he said.

Clancy noted the delta virus has resulted in everyone taking “a step or two backwards,” saying the company was more hopeful a few weeks ago that the situation was improving and masks wouldn’t be required. “But things are certainly not getting better,” so the company is requiring all employees attending CEDIA to be vaccinated. The company’s human resources department will determine how that will be verified, he said.

Crestron planned a party with Origin Acoustics as a coming-out party for their new partnership, but Clancy wasn’t sure that will go on. “I’d rather err on the side of caution and not push people into an environment like that,” he said. “This is all pretty new.” Mask-wearing at a cocktail party would be difficult to enforce, he said.

Crestron will have the largest booth at the show, in part to ensure social distancing as much as possible, Clancy said. The company designed the flow of the booth in a zigzag pattern in a way that encourages a beginning and end for single-direction traffic, he said. Feedback from dealers indicates their companies are going to CEDIA Expo but not bringing as many people. As of Wednesday, only one of several hundred Crestron dealers wasn’t planning to attend, he said.