Vonage Completes the Acquisition of Nexmo

On Jun 6, 2016

Holmdel-based Vonage Holdings Corp., a provider of cloud communications services for businesses, completes the acquisition of privately-held Nexmo, Inc., a leader in the Communications Platform as a Service (“CPaaS”) segment of the Cloud Communications market. This acquisition accelerates Vonage’s growth strategy, deepens its technology capabilities and elevates its leadership position in Cloud Communications.

San Francisco-based Nexmo provides application program interfaces (“APIs”) for text messaging and voice communications, allowing developers and enterprises to embed contextual, programmable communications into mobile apps, websites and business systems, creating better customer engagement and integrated workflows.

“We are excited to complete the Nexmo acquisition, which positions Vonage as among the largest and fastest growing cloud communications companies in the world. This transaction combines the best of UCaaS with the best of CPaaS to deliver the most complete product offering in cloud communications,” said Alan Masarek, Vonage CEO. “Not only does Nexmo expand our total addressable market, but we have acquired a cutting-edge technology company that is redefining how enterprises communicate with their customers via text, social media, voice and chat.”

Masarek continued, “Nexmo enhances Vonage’s UCaaS offering by incorporating messaging and web/app-based voice to address businesses’ rapidly increasing mobile, social media and contextual communications needs. Whether helping the world’s largest e-commerce platform to provide in-app messaging communications to end users, or enabling a leading global airline to connect its CRM software to chat apps and manage the customer experience, Nexmo is changing the way businesses communicate with their customers.”

Vonage’s strength in voice, coupled with Nexmo’s strength in messaging, will position the company as a best-in-class leader across the two dominant modes of communication – voice and messaging. Nexmo’s product suite will enhance Vonage’s overall cloud communications products and strengthen the company’s presence with leading global enterprise and technology customers.

Founded in 2011, Nexmo has offices in London, Hong Kong and Singapore in addition to its San Francisco headquarters, and is the world’s second largest CPaaS company as measured by revenue. Nexmo has the largest global network of interconnected carriers, more than 650 in total, delivering the best API-based communications platform for messaging, programmable voice and chat apps. By joining Vonage, Nexmo will benefit from the power of Vonage’s carrier-grade voice network, the strength of the Vonage brand, broad sales distribution in the U.S., and significant operational and financial scale and resources.

Nexmo has more than 350 tech-savvy enterprise customers worldwide, more than 114,000 registered developers and processes more than 5 billion API calls annually. Nexmo also represents a platform and entry point for Vonage to expand its brand globally and sell its solutions in EMEA, Asia Pacific and other attractive geographies.

Related Articles: