Rosetta Stone (company)
|Traded as||NYSE: RST|
|Predecessors||Fairfield Language Technologies|
|Founded||Harrisonburg, Virginia, USA (1992)|
|Headquarters||Arlington, Virginia, USA|
|Key people||Stephen Swad (CEO)
Greg Keim (CTO)
|Revenue||$252.3 million (2009)|
|Operating income||$20.5 million (2009)|
|Net income||$20.4 million (2009)|
|Total assets||$225.4 million (2009)|
|Total equity||$156.4 million (2009)|
|Owners||ABS Capital Partners
Northwest Equity Partners
|Subsidiaries||Rosetta Stone (UK) Limited
Rosetta Stone Japan Inc.
Rosetta Stone Inc. is a U.S. software company that develops technology-driven language, literacy and brain-fitness solutions that are used by millions of individuals and thousands of schools, businesses, government organizations around the world. Best known for its Rosetta Stone Language-Learning products, in 2013 the company expanded beyond language and deeper into education-technology with its acquisitions of Livemocha, Lexia Learning, Fit Brains and Tell Me More.
According to the company, founder Allen Stoltzfus learned German through immersion while living in Germany, and found it relatively easy. In the 1980s, Stoltzfus began learning Russian in a classroom setting, but found the classroom setting much more difficult. He wanted to simulate the German experience, and he decided to use computer technology to create a similar learning experience. He enlisted the aid of his brother-in-law, Dr. John Fairfield, who held a PhD in computer science.
By 1992, CD-ROM technology made the project possible. They formed a company known as Fairfield Language Technologies in Harrisonburg, Virginia. Allen and John hired Eugene Stoltzfus (Allen's brother), Greg Keim and Michael Silverman. They released their software product under the title The Rosetta Stone. In 2003, the company announced the hiring of Tom Adams, a businessman with international experience, as President and CEO.
In 2006, the company changed names to Rosetta Stone, Ltd., and converted from an S corporation to a C corporation. Ownership transferred to investment firms ABS Capital Partners and Northwest Equity Partners. On 23 September 2008, Rosetta Stone Inc. filed an Initial public offering with the Securities and Exchange Commission.
Since the 15th April 2009, the company is listed as the Rosetta Stone at the New York Stock Exchange. Since 2012, the company's president and CEO is Stephen Swad. The company's headquarters are situated across the Potomac River from Washington, D.C. in Arlington, VA, and it also has offices in Harrisonburg, Virginia and Boulder, Colorado, Austin, Texas, San Francisco, California, London, United Kingdom, Tokyo, Japan and Seoul, South Korea.
On September 17, 2013, Rosetta Stone announced the launch of a new Kids Division.
Rosetta Stone, Ltd., formerly Fairfield & Sons, Ltd. d.b.a. Fairfield Language Technologies, has two subsidiary companies:
- Rosetta Stone (UK) Limited is based in London in the United Kingdom and handles the sales within EMEA (Europe, Middle East and Africa).
- Rosetta Stone Japan Inc., formerly Rosetta World, is based in Tokyo, Japan, and handles sales in the Asian markets.
On April 15, 2009 Rosetta Stone raised $112 million in its Initial Public Offering of stock, with shares valued at $18.00. In its first full day of trading on the New York Stock Exchange, the stock performed strongly, closing at $25.12 per share, up 39% from its opening price. After a strong opening, however, the stock stumbled amid reports of weaknesses in Rosetta Stone's US business, resulting in the cancellation of a second offering, and a disappointing year end price just 5 cents off its opening price. The stock trades under ticker symbol RST.
- Corporate headquarters are in Arlington, Virginia.
- Main offices are in Harrisonburg, Virginia. Production takes place at this location, the shipping facility is in the same area.
- There are also offices in Boulder, Colorado; Austin, Texas; San Francisco, California; London, United Kingdom; Tokyo, Japan; and Seoul, South Korea.
Endangered language communities
In 2004, Rosetta Stone Ltd. established its Endangered Language Program to contract with endangered language communities interested in custom software development to support language revitalization efforts.
Support for the Combating Online Infringement and Counterfeits Act
Rosetta Stone was among a group of companies signed to a letter supporting Combating Online Infringement and Counterfeits Act (COICA), a bill which opponents argue amounts to censorship.
- 2012 Stevie Silver Award for the Best Use of Technology in Customer Service
- 2012 Stevie Silver Award for the Young Customer Service Professional of the Year
- 2012 Stevie Bronze Award for Customer Service Department of the Year
- 2012 Stevie People’s Choice for Favorite Customer Service 
- 2010 Eloqua Markies Award in the Marketing and Sales BFF finalist
- 2010 Future 50 Winner
- 2009 Technology CFO of the Year
- 2009 CEO Tom Adams Named Ernst & Young Entrepreneur of the Year
- 2009 CEO, Tom Adams named Ernst & Young 2009 Entrepreneur of the Year – Retail & Consumer Products
- 2009 MT2 Top Training and Simulation Companies
- 2009 Shenandoah Valley Technology Council's High Tech Company Award
- 2009 Stevie Executive of the Year Award
- 2008-2011, Deloitte's Technology Fast Award
- CNBC Article Covering the IPO, retrieved 4/17/09
- Stock Coverage of Rosetta Stone at Wikinvest
- Sydney Morning Herald Overview of 2009 Stock Performance, retrieved 2/01/10
- Associated Press. "New software to aid in keeping Navajo language alive." SantaFeNewmexican.com. Jan 06, 2008. (accessed July 06, 2008).
- Sandoval, Greg (January 18, 2011). "Senator who opposes antipiracy bill under pressure?". CNET News (San Francisco, California). Retrieved July 21, 2011.
- "2012 Stevie® Award Winners". Retrieved 11 May 2012.
- "Marketing and Sales BFF". Retrieved 11 May 2012.
- "Washington SmartCEO Announces 2010 Fast Growth Companies". Retrieved 11 May 2012.
- "CFO of the Year Awards". Retrieved 11 May 2012.
- May 2012 "Rosetta Stone Inc.’s Tom Adams named Ernst & Young Entrepreneur Of The Year® 2009 overall national winner". Retrieved 11 May 2012.
- "2009 Top Simulation & Training Companies". Retrieved 11 May 2012.
- "Rosetta Stone Wins Multiple Awards for Innovation and Excellence". Retrieved 11 May 2012.
- "Rosetta Stone CEO Named Executive of the Year". Retrieved 11 May 2012.
- "Deloitte's 2011 Technology Fast 50". Retrieved 11 May 2012.
- "Deloitte's 2010 Technology Fast 500". Retrieved 11 May 2012.
- "2009 Deloitte Technology Fast 500 - Winners Booklet". Retrieved 11 May 2012.