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ShoreTel Acquires Mobility Vendor AgitoShoreTel Acquires Mobility Vendor Agito

ShoreTel uses some of its cash on hand to bolster its mobility story.

Eric Krapf

October 21, 2010

1 Min Read
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ShoreTel uses some of its cash on hand to bolster its mobility story.

Now this is an interesting acquisition: ShoreTel announced today that it's acquiring Agito, an enterprise mobility vendor, for $11.4 million.

ShoreTel reported in July that at the end of its fiscal year June 30 it had over $100 million in cash, sparking speculation at its analyst and partner conference this summer that it might want to put that cash to use via some acquisitions. At that conference, outgoing CEO John Combs said ShoreTel wouldn't be looking to consolidate by buying other companies in the same markets, but the Agito buy is quite complementary for ShoreTel.

The move gives ShoreTel a native mobility play to sell along with its IP telephony/unified communications systems. Such combinations aren't uncommon in the enterprise communications space: Back in 2004, Siemens Enterprise acquired WLAN provider Chantry Networks, and of course Cisco filled out its portfolio with Linksys for the home and Airespace for the enterprise. And certainly mobility is one of the mega-trends in enterprise communications.

Agito's core product is its "Mobility Router," which provides PBX integration. The company touted its interoperability with multiple vendors' PBXs via SIP, and while ShoreTel will surely claim it's still willing to sell the Mobility Router to users with any PBX, it'll obviously be packaged with ShoreTel, with non-ShoreTel customers seeing less incentive to adopt the formerly-Agito Mobility Router. ShoreTel will be able to make the vendor-independence of the Mobility Router appealing to companies with multiple vendors in its installed base.

Agito has a very helpful video tutorial on how the Mobility Router works:

About the Author

Eric Krapf

Eric Krapf is General Manager and Program Co-Chair for Enterprise Connect, the leading conference/exhibition and online events brand in the enterprise communications industry. He has been Enterprise Connect.s Program Co-Chair for over a decade. He is also publisher of No Jitter, the Enterprise Connect community.s daily news and analysis website.
 

Eric served as editor of No Jitter from its founding in 2007 until taking over as publisher in 2015. From 1996 to 2004, Eric was managing editor of Business Communications Review (BCR) magazine, and from 2004 to 2007, he was the magazine's editor. BCR was a highly respected journal of the business technology and communications industry.
 

Before coming to BCR, he was managing editor and senior editor of America's Network magazine, covering the public telecommunications industry. Prior to working in high-tech journalism, he was a reporter and editor at newspapers in Connecticut and Texas.