AVCtechnologies Checks the Box on CPaaS Goal With Ribbon’s Kandy Buy

American Virtual Cloud Technologies, Inc. and Ribbon Communications Inc. announced they have stepped into a definitive agreement to acquire Ribbon’s Kandy Communications, an industry leading multi-tenant and proprietary cloud communications in an all-stock deal.  

American Virtual Cloud Technologies (AVCtechnologies) has announced the acquisition of Kandy Communications from Ribbon, for its proprietary UCaaS, CPaaS and CCaaS platform. Deeming Kandy’s platform as “one of the most impressive and advanced cloud communication platforms in the world”, Darrell Mays, CEO at AVC Technologies added, “We are delighted to announce the acquisition of Kandy, which is a major step in strengthening our ability to deliver a comprehensive set of cloud solutions and managed services offerings to our customers.”

The emergence of cloud and the current crisis has further accelerated the growth of cloud-based communications. According to Unicomm Consulting’s Marty Parker, post-COVID-19, business communications will be explicitly IP-based and software driven. 

Graham McGonigal, AVCtechnologies Chief Operating Officer said, “This acquisition significantly accelerates our growth strategy and vision to become a leading provider in the large and fast-growing cloud communications industry while increasing our penetration into global medium-sized and large enterprise clients.” 

According to Market Research FutureOpens a new window , the global cloud communication solutions market is projected to hit $5,706.8 million. AVCtechnologies aims to drive its innovative cloud-based UCaaS offering to a whole new level along with Kandy’s CPaaS and CCaaS capabilities. 

Learn More: How CPaaS Differs from UCaaS, But Also Improves Collaboration

Kandy’s market presence in cloud communications ranges across mid-sized companies and enterprise customers. The technology behind Kandy’s UCaaS, CPaaS and CCaaS platform is white-labeled by system integrators, software vendors, enterprises, and communication service providers. This includes the cloud platform for real-time embedded communication which also incorporates WebRTC-based Kandy Wrappers, APIs, SDKs.

The company has its roots in software development for programmable communications since it was founded in 2014 under GENBAND. In 2017, GENBAND retained their ownership of Kandy when they merged with Sonus Networks to form Ribbon Communications. As of now, Kandy Communications is set to become fully owned by AVCtechnologies under an all stock deal, amounting to 13 million shares of AVC common stock.

The acquisition is pending an approval by AVC Technologies stockholders and can be expected to be completed in H2 2020.

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