Sonos Stock Gains 24% on First Day; Executive Hopeful It Could Avoid Full Tariff Impact

including from the companies whose content and voice control platforms Sonos is relying on to carry it into the next voice control age of audio. It cited as a risk factor dependency on companies including Amazon and Apple, saying success with voice control increasingly will depend on willingness of technology partners with more financial resources to continue to promote and enhance Sonos products, "many of which sell or may develop products that compete with ours.” Senior Vice President-Product Marketing and Collaborations Allen Mask downplayed that risk with us Thursday, saying Sonos views itself as complementary to Amazon, Apple and Google. “Big tech companies have a very different core business than ours,” with Sonos standing apart as an open system with “freedom of choice,” he said. “We welcome all voice assistants, we welcome all streaming services, we welcome companies to build on top of our platform.” The newly public company outsources most manufacturing to contract manufacturer Inventec, which makes products for the company and its competitors at facilities in China. Tariff threats (see 1808020067) are "top of mind for us, as it is for everybody across the consumer electronics industry,” Mask told us. Sonos is “not happy about the discussions being had." The company is working with CTA to combat the proposed tariffs, and Mask noted “if and when tariffs come down, we feel hopeful.” The “premium nature” of the brand should leave the company less exposed so it’s not affected materially long term, he said.