Zoom President Greg Tomb Fired ‘Without Cause’ - InvestingChannel

Zoom President Greg Tomb Fired ‘Without Cause’

ZoomVideo ($ZM) has fired president Greg Tomb “without cause” less than a year into his role with the video conferencing company.

Tomb, a former %Google ($GOOGL) executive, was reportedly blindsided when his contract with Zoom was abruptly terminated “without cause,” according to multiple media reports.

Tomb had joined Zoom in June 2022 and been active on earnings calls and media interviews. He oversaw the company’s global sales.

San Jose, California-based Zoom said in a written statement that it has no plans to replace Tomb or staff the president’s role going forward.

Tomb reported directly to chief executive officer (CEO) and Zoom founder Eric Yuan, who started the company in 2011.

Zoom became a household name and its stock soared during the COVID-19 pandemic as people around the world sheltered-in-place at home and went to work and school via video conferencing.

In April 2020, the company reported that 300 million daily participants were on Zoom conference calls.

However, Zoom has struggled to maintain its pandemic gains and seen its stock plunge over the past year. The company also recently announced widespread staff layoffs.

This past February, the company cut 15% of its workforce, or about 1,300 people globally, as it manages waning demand.

Zoom also faces rising competition from services such as Google Meet, %Microsoft ($MSFT) Teams and Slack.

Zoom’s stock has declined 38% in the past 12 months to trade at $70.63 U.S. per share.

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