While most of the world slept, in the early morning hours of July 27, ShoreTel announced its intent to be acquired by Mitel. Many analysts believe it is the perfect time for Mitel to acquire ShoreTel. Mitel has its eye on expanding its video offering that should fit right in with ShoreTel’s Connect platform while ShoreTel could immediately benefit from Mitel’s advancements in hardware. Regardless of the timing, change is change and the biggest question on everyone’s mind is what the pending merger means for the companies who have invested a lot of time, money, and resources in a ShoreTel system?
Let’s dig deeper
Mitel wants to grow and they are bound to do it through acquisition. In the last decade, Mitel has experienced several acquisitions: InterTel in 2007, Aastra Technologies in 2013, OAISYS in 2014 and Mavenir in 2015. These mergers allowed Mitel to expand its base and continue to improve on its product set.
But wait, there’s more.
The merging of these two organizations will nearly double Mitel’s UCaaS revenue to $263 million. According to Mitel CTO Rich McBee, “This is a very natural combination that enables us to continue to consolidate the industry and take advantage of cost synergy opportunities while adding new technologies and significant cloud growth to our business.” The combined company will elevate Mitel to the #2 position in the UCaaS space, creating a supplier with the scale and technical capabilities never seen before.
Still, there is one additional motivation that is worth mention: the two organizations have what the other needs. ShoreTel is known for its “brilliantly simple” software and communication solutions. Mitel, known for being highly reliable is sure to benefit from the advanced innovation and simplicity of the ShoreTel platform and given it history in acquisition, the company has a clear pattern of taking the product on, supporting it, and growing it. Furthermore, given Mitel’s history of acquiring voice solutions, it would seem likely that Mitel will want to capitalize ShoreTel’s innovative simple to use cloud products. This was especially the case with the 2007 Inter-Tel acquisition that birthed the Mitel 5000, which is still available today as an updated version of the original Inter-Tel 5000 platform. ShoreTel customers should be confident in the likelihood that Mitel will see even more value from the rapidly growing ShoreTel Connect platform, which has the unique flexibility to be utilized either on-premise or in the cloud, using the same desktop software (something Mitel’s platform cannot accomplish today).
What’s in store for Blue Fox Group customers?
While the rest of the tech community observes the new acquisition, Blue Fox has its gaze set firmly on the future and how we can help the greater Arizona business community leverage technology to grow, be efficient and profitable. As the cloud landscape continues to evolve, technologies like voice, network, infrastructure, and collaboration migrate to the cloud as a service with faster, more secure and affordable options available for consumption. Blue Fox believes businesses will continue to get smarter about how they leverage these types of services and will look to partner with technology providers (like Blue Fox) that are always looking ahead to implement the best software/hardware solution – at any given time – on behalf of that organization.
Blue Fox has and will always be a holistic provider of technology solutions in the market place who is committed to servicing and helping businesses leverage their technology investment.
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