Entellium

Last updated
Entellium
Company typePrivate (defunct)
IndustryOn-demand software
Founded Kuala Lumpur, Malaysia 2000
Headquarters Seattle, Washington
Key people
Paul Johnston
ProductsRave, eSalesForce, eCustomerCenter
Website www.entellium.com

Entellium was a U.S. software company that developed on-demand customer relationship management (CRM) software for small and midsize businesses. It was sold to Intuit in bankruptcy court, but as of October 2009, Intuit was reportedly not using the software. [1]

Contents

Company description

Entellium was founded in Kuala Lumpur, Malaysia, in May 2000 by Paul Johnston, a former Apple sales executive. The company moved its headquarters to Seattle, Washington, in 2003 [2] but maintained a research and development office in Kuala Lumpur.

Wire fraud scandal

On October 7, 2008, Paul Thomas Johnston, the former chief executive officer (CEO) of Seattle-based Entellium Corp., and Parrish L. Jones, the former chief financial officer (CFO), [3] were arrested and charged with wire fraud for lying to investors in U.S. District Court in Seattle. [4]

According to the FBI, the two software executives “devised a scheme to defraud investors in the company by representing that company revenues far exceeded the actual figures.”

The government alleges that actual 2006 revenues were $582,789 but the pair inflated the revenues to nearly $4 million; actual 2007 revenues were $1.4 million inflated to $6.2 million; and actual 2008 revenues were $1.7 million inflated to $5.2 million.

The false revenue numbers, according to the government, were used by the pair to attract millions of dollars in private investment, including $19 million from Ignition Partners, of Bellevue. Two Ignition partners told government investigators that they never would have made such an investment had they known the actual revenue figures.

Forty Entellium staff were laid off after the arrests. [5]

Bankruptcy

On December 2, 2008, Entellium filed for Chapter 11 bankruptcy protection, paving the way for some assets to be sold to financial software maker Intuit. [6]

Products

Entellium's products include two customer relationship management applications and an issue tracking system:

Gamer-influenced design

In building its Rave product, Entellium used gamer-influenced design (GID), [8] [9] a concept that incorporates video-game features into business software. Rave includes the following GID features:

Recognition

Entellium has received the following awards and media coverage for its software:

Notes

  1. Cook J. (2009). Entellium: One year later. TechFlash.
  2. "Seattle Post-Intelligencer: Venture Capital Notebook".
  3. "Former Entellium CFO pleads guilty in fraud". 18 December 2008.
  4. "Ex-Entellium execs charged with wire fraud for lying to investors". Puget Sound Business Journal. Retrieved 23 August 2015.
  5. "40 laid off at software company as execs arrested". The Washington Post .[ dead link ]
  6. "Entellium files for bankruptcy protection". The Seattle Times. 2 December 2008. Retrieved 23 August 2015.
  7. "Entellium Builds a CRM Suite to Rave About". DestinationCRM.com. Retrieved 11 June 2015.
  8. Fitzgerald, Michael (20 May 2007). "Why Work Is Looking More Like a Video Game". The New York Times via NYTimes.com.
  9. "About.com: Rave - A Gamer's Look at CRM". Archived from the original on 2009-09-03. Retrieved 2008-02-15.
  10. "Industrial Designers Society of America (IDSA): 2007 IDEA Winners: Bronze". Archived from the original on 2007-12-01. Retrieved 2008-02-15.
  11. "The Forrester Wave: Customer Service Management Software Q2 2007". Archived from the original on 2008-02-14. Retrieved 2008-02-15.
  12. "destinationCRM.com: The 2007 Market Awards: Sales Force Automation". Archived from the original on 2008-01-20. Retrieved 2008-02-15.
  13. "Entellium Selects SAVVIS to Manage IT Infrastructure Services". MediaRoom. Retrieved 2019-08-05.
  14. "Entellium Wins Frost & Sullivan's Customer Service Leadership Award for Hosted CRM". www.businesswire.com. 2005-10-06. Retrieved 2019-08-05.

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