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Logitech targets faster growth via education, health and AI
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Logitech targets faster growth via education, health and AI
Apr 30, 2024 6:39 AM

LAUSANNE, Switzerland, April 30(Reuters) - Logitech

International is targeting faster growth in future by

expanding its customer base into areas like education and

healthcare as well as doing more with artificial intelligence,

Chief Executive Hanneke Faber said on Tuesday.

The computer mice, keyboard and video conferencing maker

snapped 2-1/2 years of declines to post its first quarterly

sales increase.

The Swiss-U.S. company, which suffered a downturn after a

pandemic-driven boom, is now aiming for sales growth of 0-2% in

the next 12 months, with faster growth after that.

"We are talking about accelerating growth organically to

mid-single digits after this financial year," Faber told Reuters

in an interview at Logitech's headquarters in Lausanne.

Faber, who took charge in December 2023, said Logitech wants

to expand its consumer base and also get customers to buy more

premium versions of its products which include speakers and

webcams.

Until now Logitech had mainly focused on products for office

workers, said Faber.

"Most people in the world don't work in an office. They work

in retail, education, construction and manufacturing," Faber

said. "We have room to play in all those places and that can

double the total addressable market that we play in."

Education was one area targeted, for example by making

headphones suitable for children.

There was an opportunity to double its addressable market in

gaming by producing more products for console and mobile phone

players, Faber said.

Logitech was also looking to increase sales to businesses,

although Faber said the market was currently "challenging."

Still, Faber said the move to hybrid work following the

pandemic was a trend that was "here to stay".

More products will also be launched which are equipped with

artificial intelligence, for example to allow users quick access

to generative AI systems like ChatGPT.

Other products include AI-equipped video conferencing

software which enables cameras to focus on the person speaking,

while ignoring background noises.

Acquisitions could also feature again, Faber said, with

Logitech having $1.5 billion in cash, although she said she

would not be rushed into deals

"We do have the firepower but that doesn't mean I'm going to

get trigger happy," she said.

(Reporting by John Revill; Editing by Emelia Sithole-Matarise)

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