RingCentral the ‘Big Winner’ in New Deal as Avaya Ends Acquisition Speculation

Business Celebration with Champagne Toast

… it will gain direct access to Avaya’s “enormous client base, many of which are due to move to the cloud in the near to medium term.”

451 Research's Raul Castanon-Martinez

451 Research’s Raul Castanon

“They also get access to Avaya’s sales channel, significantly expanding their reach into global markets,” he said. “It’s a good option to Avaya because one of their most valuable assets is their client base and they found a way to derive value from them in a creative way that benefits their customs as well. It puts RingCentral in a good position to accelerate their growth and benefit from the shift to the cloud. There’s still work to be done, but if RingCentral plays its cards it stands to gain significant market share.”

The agreement mirrors other deals such as the agreement between Atlassian and Slack when Atlassian discontinued its messaging apps HipChat and Stride, Castanon said.

“I think we can expect further consolidation, but probably less deals driven by market share and more along the lines of technology as in the recent acquisition of Voicea by Cisco, or New Voice Media by Vonage,” he said.

Drew Lydecker, Avant Communications president, said the partnership is further evidence that UCaaS is one of the “most disruptive” technologies on the market.

“As a top-tier channel partner of RingCentral, Avant is excited to see this partnership proceed with Avaya, which will provide tremendous value to end users as well as the channel community,” he said.

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