OSOM Products, the smartphone company that rose from the ashes of Andy Rubin‘s Essential, is reportedly shutting down this week following allegations that its CEO misused company funds.
According to reports from Android Authority, OSOM’s chief executive, Jason Keats, announced the company’s imminent closure internally yesterday. Most employees are expected to be laid off by Friday, with only a skeleton crew remaining to push out a final software update for the Solana Saga smartphone.
The shutdown comes in the wake of a lawsuit filed by Mary Stone Ross, OSOM’s former Chief Privacy Officer.The legal action, filed in Delaware’s Court of Chancery, alleges that Keats misappropriated company funds for personal expenses, including the purchase of two Lamborghinis and financing his racing hobby.
Android Authority reports that the lawsuit seeks access to OSOM’s financial records to substantiate these claims. The allegations suggest a pattern of lavish spending by Keats, including first-class travel and mortgage payments, which allegedly depleted the company’s resources.
OSOM, founded in 2020 by former Essential employees, had initially planned to create privacy-focused devices. The company pivoted to blockchain technology, partnering with Solana to release the Saga smartphone. However, plans for a successor device apparently fell through earlier this year.
In response to the allegations, an OSOM spokesperson told Android Authority that the company was “aware of the outlandish allegations by a former employee” and looked forward to “disproving them in court.” Keats has reportedly denied the accusations of financial misconduct.
According to reports from Android Authority, OSOM’s chief executive, Jason Keats, announced the company’s imminent closure internally yesterday. Most employees are expected to be laid off by Friday, with only a skeleton crew remaining to push out a final software update for the Solana Saga smartphone.
The shutdown comes in the wake of a lawsuit filed by Mary Stone Ross, OSOM’s former Chief Privacy Officer.The legal action, filed in Delaware’s Court of Chancery, alleges that Keats misappropriated company funds for personal expenses, including the purchase of two Lamborghinis and financing his racing hobby.
Android Authority reports that the lawsuit seeks access to OSOM’s financial records to substantiate these claims. The allegations suggest a pattern of lavish spending by Keats, including first-class travel and mortgage payments, which allegedly depleted the company’s resources.
OSOM, founded in 2020 by former Essential employees, had initially planned to create privacy-focused devices. The company pivoted to blockchain technology, partnering with Solana to release the Saga smartphone. However, plans for a successor device apparently fell through earlier this year.
In response to the allegations, an OSOM spokesperson told Android Authority that the company was “aware of the outlandish allegations by a former employee” and looked forward to “disproving them in court.” Keats has reportedly denied the accusations of financial misconduct.
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