On December 29, 2025, Ooma, a provider of intelligent communications platforms, announced the completion of its acquisition of cloud communications service provider Phone.com for approximately $23.2 million in cash. With a current market capitalization of $316 million, strong cash flow, and a moderate debt level, this acquisition will help Ooma further solidify its position in the SME cloud communications market.
Headquartered in Newark, New Jersey, Phone.com primarily provides cloud communications services to approximately 36,000 customers and 87,000 users in North America. Its business encompasses voice, video, SMS, and professional call processing, supporting desktop and mobile applications through a unified communications-as-a-service platform. The company expects to contribute $22 million to $23 million in revenue annually, with adjusted EBITDA between $1 million and $1.5 million.
Founded in 2003, Ooma currently has over 2 million users and provides comprehensive communication solutions including telephone, SMS, and video. The company’s recently released Q3 2025 financial report shows revenue of $67.6 million and earnings per share of $0.27, both exceeding market expectations. Furthermore, Benchmark recently reiterated its “buy” rating on Ooma, setting a target price of $20, believing its diversified business layout has growth potential.
This acquisition is expected to boost Ooma’s adjusted EBITDA and non-GAAP earnings per share starting at the end of 2025. Upon completion of the transaction, Ooma is expected to enhance its service capabilities in the small and medium-sized enterprise market by integrating Phone.com’s customer resources and technological capabilities, driving synergistic business development.
News Source:Investing.com，This article does not represent our position.
