I've enjoyed reading about
what is going on in other places in our new circumstances. Thanks for taking the time to write it up.
I thought I'd give you a quick update on how JRiver is doing.
On Friday, the 13th of March, we started working from home. So far it's been a non-event. We do the same things, just in a different place. We've been fixing bugs, working on new things, and keeping up with forum and email. We check in online about once a day to just post a quick update on what we're doing.
I miss seeing everyone, but this is our new life, probably for several months.
Oddly, JRiver's sales haven't skipped a beat. We're still doing well. Often, at the beginning of a recession, sales can drop by a lot. I've seen one where we saw a 40% drop and it stayed at that level for a year or more. This one isn't like that for us so far.
People hear about recessions, but nobody explains what they are, and they can have a huge effect on people's lives.
A recession is a contraction of "the economy". It's related to the total economic output of a country. In good times, this output grows (it's an expansion), so that each quarter, there is more economic output. This can go on for months or years, or in the case of the last economic expansion, a decade.
The cycle of expansion, retraction, expansion typically last several years, sometimes more. During the downturn, people lose their jobs and businesses cease operations. In a mild recession, it can be hardly noticable. In a deep recession, it can be devastating.
This recession is very likely to be very deep. Whole sectors of the economy have nearly shut down -- airlines, hotels, restaurants, entertainment, and more. Housing is probably next. When the pandemic is over, these businesses will take time to recover. A year or more perhaps.
So that's the big picture. JRiver's job is to weather this recession and continue to provide great entertainment software.
We're incredibly lucky to have you along for the ride. We wish you the best in your own lives.
Jim Hillegass
CEO
