Ooma, Inc., a leading smart communications platform for businesses and consumers, has successfully acquired 2600Hz, Inc. The acquisition, valued at approximately $33 million in cash, closed on October 20, 2023. This strategic move is set to enhance Ooma’s business solutions and expand its market reach.
The purchase was partly financed by a $30 million revolving line of credit facility from Citizens Bank, N.A. Furthermore, former 2600Hz employees who join Ooma as part of this acquisition will receive equity awards under Ooma’s 2015 Equity Incentive Plan, subject to vesting conditions.
2600Hz is renowned for its modern, flexible business communication applications aimed at resellers and carriers. By integrating their open-source communications solution, Kazoo, and a suite of proprietary applications via open APIs, they offer services like Unified Communications as a Service (UCaaS), Communications Platform as a Service (CPaaS), Call Center as a Service (CCaaS), and AI tools.
With this acquisition, Ooma will take the lead in directing the future of 2600Hz’s technology road map. They will combine 2600Hz’s offerings with Ooma’s proprietary intellectual property to create more robust, scalable, and open communication solutions.
Ooma CEO, Eric Stang, expressed enthusiasm about the acquisition: “We’re delighted to welcome 2600Hz into the Ooma portfolio of business solutions. This acquisition is complementary to our strategy to extend our leadership in serving business customers, both directly and now through other service providers, and it is expected to accelerate overall growth of Ooma and the reach of our solutions. We are excited to bring Ooma’s unique engineering expertise to better serve 2600Hz’s customers worldwide.”
This strategic move strengthens both companies’ positions in the market, enabling Ooma to offer an expanded array of services to its customers and allowing 2600Hz to leverage Ooma’s telecom infrastructure, applications, and scale to enhance its solutions.