Internet fax to email service provider j2 Global Communications Inc. (JCOM) recently acquired the unified messaging and communications business of Australia-based mBox Pty Ltd.
Individuals and enterprises are now increasingly utilizing digital faxing services to reduce costs and improve security. This prompts j2 Global to acquire related fax and voice service providers to expand globally. mBox Pty Ltd has a strong presence in Australia, New Zealand and Singapore. The financial impact of this acquisition is likely to be immaterial to j2 Global.
At present, j2 Global commands approximately 30% of the world digital faxing system. The company’s networks span 3,539 cities in 48 countries. Most recently, the company added local fax numbers in Brazil and Peru. From an operational standpoint, j2 Global continues to focus on subscriber usage revenue, which increased more than 2% year-over-year in 2009.
j2 Global delivers integrated communications services through its unique digital faxing and voice messaging systems. The company continues to grow its most powerful eFax brand with creative content and designs. Management was able to reinvigorate sales from credit-sensitive clients, despite facing weak economic conditions on a global basis.
j2 Global’s strategy to expand through acquisitions helped sustain the economic downturn and market competition. Competition in the outsourced, value-added messaging and communications industry is fierce and continues to intensify.
Many of the company’s competitors have greater financial, technical and marketing capabilities which may enable them to respond more effectively to emerging technologies and changes in customer requirements. Under this situation, the new acquisition by j2 Global is directed towards global expansion to remain competitive.
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