Conferencing solutions provider LogMeIn has agreed to acquire Utah-based startup Jive Communications for $342 million in a move to expand its unified communications and collaboration (UCC) offerings.
LogMeIn’s existing collaboration products include such cloud-based services as GoToMeeting, GoToWebinar, OpenVoice, and join.me. With the acquisition of Jive, it will add voice-over-internet and unified communications applications.
Jive, which was founded in 2006, employs about 600 people, including, as ZDNet reports, “a skilled R&D team that’s built a modern architecture from the ground up, along with a distributed multi-tenant cloud platform for unified communications.”
“We believe the combination of Jive’s award-winning voice, video, contact center and mobile applications with our leading collaboration products, GoToMeeting and join.me, will give LogMeIn one of the best and most comprehensive UCC offerings in the market,” LogMeIn CEO Bill Wagner said in a news release.
“The result is a deal that will accelerate our overall growth, set a new standard in the UCC market, and provide us with a foundation upon which we’ll build the next generation of LogMeIn’s UCC portfolio,” he added.
Jive competes with services like UberConference, Zoom and WebEx. It claims to have 20,000 customers worldwide and a strong growth rate in the Unified Communications-as-a-Service market — which LogMeIn says is seven times larger than its current web conferencing software market.
According to TechCrunch, “while many people seem to be making a major switch away from fixed line services to mobile in the consumer and smaller business world, in the enterprise market the big shift has been from legacy phone services to VoIP — both for person-to-person and group calls — and so players like Jive are making a lot of inroads as a result of that.”
LogMeIn has been seeking to boost overall revenues per customer by expanding the services it provides to its existing user base. It acquired the GoTo product line from Citrix in January 2017 for $1.8 billion and Israeli startup Nanorep, which makes chatbots and other AI-based tools, for around $45 million last summer.