Milestone CEO Book: Why He Aborted the IPO and Chose Canon

Author: John Honovich, Published on Sep 15, 2015

Milestone's CEO just published a 205-page book titled 'Business Magnetism'.

Why? No idea. Would assume he had better things to do...

The first 150 pages are painful, with statements like:

"They realize the rarity of this opportunity, and feel the pressure to succeed, but delving into this unchartered territory is also liberating."

and:

"As I go about my daily life, I try to exemplify Kierkegaard’s idea by never becoming complacent and always challenging the status quo."

One of the ways he did that was:

"In a meeting which is likely to be difficult or tense, I equip the room with a small pillow. When people feel frustrated or angry, I explain, they should feel free to release that tension by yelling loudly into the pillow"

But right after teasing about the original ending of the book, it starts getting very interesting as he explains the issues in the IPO process and why it was aborted in favor of choosing the Canon acquisition, including how Avigilon hurt their IPO prospects.

*********'* *** **** ********** ***-******** ****** '******** *********'.

***? ** ****. ***** ****** ** *** ****** ****** ** do...

*** ***** *** ***** *** *******, **** ********** ****:

"**** ******* *** ****** ** **** ***********, *** **** *** pressure ** *******, *** ******* **** **** *********** ********* ** also **********."

***:

"** * ** ***** ** ***** ****, * *** ** exemplify ***********’* **** ** ***** ******** ********** *** ****** *********** the ****** ***."

*** ** *** **** ** *** **** ***:

"** * ******* ***** ** ****** ** ** ********* ** tense, * ***** *** **** **** * ***** ******. **** people **** ********** ** *****, * *******, **** ****** **** free ** ******* **** ******* ** ******* ****** **** *** pillow"

*** ***** ***** ******* ***** *** ******** ****** ** *** book, ** ****** ******* **** *********** ** ** ******** *** issues ** *** *** ******* *** *** ** *** ******* in ***** ** ******** *** ***** ***********, ********* *** ******** hurt ***** *** *********.

[***************]

Problems **** *******

************* ***** *** ********* *** ** ***. ** ******* ******* ** ****, ******** *** ***:

"********** **** *********, *** * **** **** ******* **** ****** wasn’t ** *****. ** ****’* *********’* *****. ** *** ************ to *** ************ ********** ***** ** ************* **** ** *** built *** ******* ****."

*************

*****, *********'* *** ****** *** ******** ** *** ******:

"[*****] ******, *** ********** ***** ** ****** ************, *** **’* constantly ** ***** ******** ** ***********. ** ** ******* ******, it ****’* ********* * *** ******* ******* **."

**** ** * **** *******, ** **** ******** *** **** can ****** **. *** **** ****** ** ***** ** **** numbers *** *** ***, ******** *** **** *** *** **** will ****, ******** **** ********** *** ***** ******.

Showing *****

****** *** **, ***** ************ ******** *** ********* *******, *********'* CEO **** ** ** ********* ** *******:

"****’* ** ********, “*** ******** ****** **** **** * *** of *****.” **’* ******* ********* ** *** ** ** ********* in *** *****. *** **** **’* ******* ** **** *** Australians **** ‘**** ***** ********’ – ******* **** *** ****** that ****** ******* ** *** *****."

Avigilon *** ****** **** *********

** *** *** *** ** *******, *********'* ******* *** *********'* valuation, ** *** *** ********:

"**** **** **** ** ******* ******* ** ******** ***** ***** valuation, *** ** **** **** **** ******* ** * ***** American ********** ** **** (***** ***** ***** ** *** **** was ********* *********), *** ******** *** ********. ** **** **** **** **** **** ***** ****** ** lower ***** ********* ** * ****** ** **** ****** ********."

********'* ****** *** ** *** **** *********** *** ********** *** start ** ********'* ******* *** ****** * **** ** ********* the ************** ** * ********* ***, ** * ******* ******** stock ***** ****** ** * ****** ********** *** *********'* *** price.

Lack ** ***

*** ************ ******** ** ********* ******* ** *** **** *** licensing, ***** ***** ** ***** ********* **** ************ **********. *** bankers ****** ** ********* / *** ************ ** **** ********* revenue ***** ********* *** ********* ** **:

"**** ******, *** ***, ****** **** ******, *** ***** *** ground. *** ******* **** ********** **********, ********** **** **** **** going ** *** *** ** ******* **** *********** ***** ‘********* revenue’, *** ** **** *******, **** ***** ****. *******’ ******** was ** *** ***** **** ** ** ******’* ******* **** information, **** ** ******’* ***** *** * ****** *********."

Canon *** * *** *** ** ****

** ********, ***** ******* * ******* ****, ***** **** ***** not **** ** **** ****** *** ***** **** *** **** they **** ***** (****** ****** *** ***** ******** ****** ********** - ************'* **** ********** ********).

******** ****** ******** ** *** *** **** *** ** *** $400 ** $*** ******* *****, ***** ***** ** * ********* ~5x *********'* *******. ** ******, *********'* *** *** *** ******** the ***** *** *********** ***** *** ******** *** **** **** than * **** *****, ** ***** *** ** ********* ** it *** * ****, ********* ****.

The ******

*********'* *** ***** *** **** ******* ***** *** ******. ** our **** ****, ********* *** ***** ** '*** ***** ** ****** ********' *** the ***** ******* '*****.*'.

Comments (12)

John Honovich

IPVM | 09/16/15 12:25am

Btw, this is Milestone's CEO best writing ever: Milestone Seeks Global VMS Market Dominance (2011).

Undisclosed Integrator #1

09/16/15 12:30am
CCTV 2.0? Is this a reference to HD-TVI, HD-CVI, etc?

John Honovich

IPVM | In reply to Undisclosed Integrator #1 | 09/16/15 12:33am

According to Milestone's CEO: "bundled solutions look as if they are making a comeback. I call this CCTV 2.0" He laments that this is "return to Proprietary Jail"

More on that in the follow up to this post.

Rogier van der Heide

09/16/15 09:56am

I sure could use a pillow every now and then to scream at. Although, I'm sure my collegue would start to give me weird faces.

Thumbnail lh badge2

Lynn Harold

09/16/15 08:54pm

Who knew there was actually a pillow for this purpose?? Maybe it'll become their new source of revenue.

Scream into Pillow

John Honovich

IPVM | In reply to Lynn Harold | 09/16/15 09:06pm

"Maybe it'll become their new source of revenue."

Perhaps a pillow of the month club to get some RMR?

Here's the real deal:

Undisclosed #2

In reply to John Honovich | 09/16/15 09:21pm

Canon's Fujio Mitarai doesn't look like your typical pillow-screamer:

Of course that may change when Axis reports Q3 earnings...

Thumbnail dsc00412 2

Jonathan Lawry

Trecerdo, LLC | In reply to John Honovich | 09/22/15 12:52pm

Maybe their RMR will come from laundry services for those pillows? Yucky stuff would build up over time.

Undisclosed #2

09/19/15 03:37am

John's too modest to mention it, but IPVM figures "prominently" in the book:

Not only were many of our partners there, a large number of security industry press were in attendance as well, and one of the more prominent websites had run with the Sky News story. I needed to nip the speculation in the bud as it risked overwhelming the message of the conference, which was the work we were doing with our partners. We put together a statement, approved by our banking team.

This is what I said onstage: “You have most likely seen today’s home page of the website that is one of the prominent industry watchers in our business. As you can see they are asking a question about us –is Milestone going to IPO? “Milestone is a successful company with a 17-year solid track record in our business. Our primary focus is the continued development of our business but we are also lucky enough to be at a stage in our growth where IPO is one of the options available to us. But it’s just one option and no decision has been made....

Though Security Today remembered it slightly differently:

Taking the stage for an opening keynote speech, Thinggaard asked how many people in the audience follow this analysts’ blog. So few hands were raised in the air, you couldn’t populate a six-year-olds’ birthday cake with an equivalent number of candles.

Security Today also make Lars' denials much more gratuitous and damming, and has him taking a final shot at a certain person in his close:

“We’re not preparing for an IPO this week, in two weeks or two months. An IPO is not on our plate at this time. We’re focusing on a lot of things that pertain to our business structure at this time. Period.” Taking advantage of attending MIPS, Thinggaard reiterated more than once that an initial public offering was not in the works and that everything a person might read on a certain blog just isn’t true.

John Honovich

IPVM | 09/28/15 10:40am

Milestone has now released a video trailer for the book:

John Honovich

IPVM | 10/03/15 12:57am

Milestone, unsolicited, sent me a hardcover copy of the book. It includes numerous photos of Milestone's CEO posing like so:

Undisclosed #2

12/27/15 07:38pm

Independence is one of our core values so when we say stand-alone, we mean stand-alone. If Canon Japan wants Milestone software, they can choose to do so: by being a distributor, or coming to an OEM or other commercial arrangement. They can’t demand that we deliver something to them for free.

Sure they can Lars, they already paid you for it.

Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Related Reports on Financials

Ascent / MONI Faces Lender Lawsuit and Debt Crisis on Sep 13, 2018
ASCMA, aka Ascent, aka Brinks Home Security, aka MONI, aka Monitronics is being sued by a group of their lenders who allege: As of June 30,...
Arlo IPO Filing Reveals Key Financial and Competitive Details on Jul 09, 2018
Arlo is going to IPO at a projected valuation greater than Axis. Now, Arlo has released their 175-page Form S1 Registration Statement for its...
ASIS GSX Show Struggling Getting Exhibitors on Jun 26, 2018
The show formerly known as ASIS, now GSX, is less than 3 months away. And it is struggling to get exhibitors to go back to Las Vegas, just...
ADT Stock Drops 50% Since IPO on May 17, 2018
It has been a brutal 4 months for ADT. They first expected to IPO at ~$18. They IPOed at $14, dropping immediately to $12.39 And now, not even...
Milestone 2017 Financials Examined on Apr 24, 2018
For ISC West 2018, Milestone released ... their financials, touting "strong revenue growth in 2017". However, there were discrepancies with the...
US / China Tariffs March 2018 on Mar 23, 2018
On March 22, 2018, the US issued a Presidential Memorandum on the Actions by the United States Related to the Section 301 Investigation, with 3...
Avigilon Breaks $400 Million Revenue, Quadruples Profit, Weakens Competitiveness on Mar 07, 2018
The last annual Avigilon financials are here. With the imminent Motorola acquisition completion, Avigilon will cease to be an independent publicly...
Arlo, Bigger Than Avigilon, More Valuable Than Axis on Feb 08, 2018
Arlo, the wireless IP camera offering that Netgear bought ~5 years ago for a few tens of millions is now doing more revenue than Avigilon and...
Imperial Capital Security Investor Conference Review on Dec 08, 2017
Investment bank Imperial Capital holds an annual Security Investor Conference where 60+ companies present, including this year: IPVM bought a...
ADI To Be Spun Out of Honeywell on Oct 10, 2017
Honeywell has announced it will spin off ADI and its Home products division into a new public company. This is a big move for the mega-security...

Most Recent Industry Reports

Alexa Guard Expands Amazon's Security Offerings, Boosts ADT's Stock on Sep 21, 2018
Amazon is expanding their security offerings yet again, this time with Alexa Guard that delivers security audio analytics and a virtual "Fake...
UTC, Owner of Lenel, Acquires S2 on Sep 20, 2018
UTC now owns two of the biggest access control providers, one of integrator's most hated access control platforms, Lenel, and one of their...
BluePoint Aims To Bring Life-Safety Mind-Set To Police Pull Stations on Sep 20, 2018
Fire alarm pull stations are commonplace but police ones are not. A self-funded startup, BluePoint Alert Solutions is aiming to make police pull...
SIA Plays Dumb On OEMs And Hikua Ban on Sep 20, 2018
OEMs widely pretend to be 'manufacturers', deceiving their customers and putting them at risk for cybersecurity attacks and, soon, violation of US...
Axis Vs. Hikvision IR PTZ Shootout on Sep 20, 2018
Hikvision has their high-end dual-sensor DarkfighterX. Axis has their high-end concealed IR Q6125-LE. Which is better? We bought both and tested...
Avigilon Announces AI-Powered H5 Camera Development on Sep 19, 2018
Avigilon will be showcasing "next-generation AI" at next week's ASIS GSX. In an atypical move, the company is not actually releasing these...
Favorite Request-to-Exit (RTE) Manufacturers 2018 on Sep 19, 2018
Request To Exit devices like motion sensors and lock releasing push-buttons are a part of almost every access install, but who makes the equipment...
25% China Tariffs Finalized For 2019, 10% Start Now, Includes Select Video Surveillance on Sep 18, 2018
A surprise move: In July, when the most recent tariff round was first announced, the tariffs were only scheduled for 10%. However, now, the US...
Central Stations Face Off Against NFPA On Fire Monitoring on Sep 18, 2018
Central stations are facing off against the NFPA over what they call anti-competitive language in NFPA 72, the standard that covers fire alarms....
Hikvision USA Starts Layoffs on Sep 18, 2018
Hikvision USA has started layoffs, just weeks after the US government ban was passed into law. Inside this note, we examine: The important...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact