Radisys (RSYS), a company undergoing a strategic transition from hardware to a software focused business (read more here), announced changes to executive compensation structure. These changes will tie management’s incentives with financial and stock performance and ultimately align management interest with that of shareholders.
Growing Software and Profiting Hardware
Radisys has been gradually shifting from the slowing hardware services business towards the more lucrative software systems segment. This necessary transition has not yet fully played out, but will provide long term revenue growth for the company as the market for hardware contracts.
Management expects the 2015 revenue in Embedded Product and Hardware Services to decline by approximately 20% as the company will foc...