Zoom, the household brand of videoconferencing

Ever since the pandemic forced many to do their work and schooling from home, subscription sales for Zoom skyrocketed. Instead of in-person meetings, people had virtual meetings. Instead of seminars, presenters hosted webinars. Instead of in-person lectures, it’s online lectures. With more people flocking to Zoom than competitors, Zoom has become the household name for videoconferencing.

Recently, Zoom announced that it has a product for remote workers. The product is called Zoom for Home. As a way to help remote workers transition to conferencing online, Zoom for Home comes with everything workers need to fully participate in virtual meetings. Along with the touchscreen device, Zoom for Home also includes three smart web cameras, eight built-in noise-reducing microphones, and the Zoom software being preloaded. This product will be released in August.

The maker of the Zoom for Home device, DTEN, has been making video conferencing devices for quite some time. Since they’re independent of Zoom, it looks like they’re using the Zoom name to give their products notoriety. In that case, it looks like Zoom should be making royalties off of the sale of DTEN’s sales. If DTEN’s sales skyrocket under the current market conditions, then Zoom is looking to gain a lot in royalties.

Overall, Zoom has the potential to monetize its brand. Being a household name in videoconferencing, videoconferencing device makers like DTEN are using the Zoom name to boost sales. If Zoom’s subscription growth slows down, Zoom can rely on royalties to get them closer to investors’ expectations.

*Note that I’m not certain whether DTEN pays royalties to Zoom for using the name or not.