Sonos’ $30M app fail is cautionary tale against rushing unnecessary updates

Addressing blowback from Sonos' wildly unpopular app redesign will cost the company $20 to $30 million "in the short term," according to CEO Patrick Spence.

In May, Sonos launched an updated app that aggravated many users due to its removal of common functions, like accessibility features and the ability to edit playlists and song queues, use sleep timers, and access local music libraries. Sonos said it wanted to modernize the app's interface and make it easier to navigate. While the app initially succeeded in making certain things quicker, like adjusting the volume, the changes caused outrage among Sonos' typically loyal user base. In July, Spence apologized for the maligned redesign and said Sonos would fix the app with biweekly updates.

During Sonos' fiscal Q3 2024 earnings call yesterday, Spence said that fixing the app and managing related customer fallout will cost Sonos millions. The costs come from three primary areas—app updates, customer support, and winning back customers and partners—and are “necessary to right the ship for the long term," Spence said.