Ringcentral Inc (RNG)

History and Background

RingCentral, Inc. was founded in 1999 by Vlad Shmunis and RingCentral provides software as a service (SaaS) solutions. Originally named Ring Zero Systems, the company changed its name to RingCentral in 2006. It became a public company in 2013, trading under the symbol RNG.

Core Business Areas

• Unified Communications as a Service (UCaaS): RingCentral's core business revolves around providing UCaaS solutions, offering voice, video, messaging, and collaboration tools integrated into a single platform.
• Contact Center as a Service (CCaaS): RingCentral offers CCaaS solutions that enhance customer engagement by providing omnichannel communication capabilities, workforce optimization, and analytics.
• Video Meetings: RingCentral provides high-quality video conferencing solutions for virtual meetings and collaboration.

Leadership and Structure

Vlad Shmunis is the Chairman and CEO. The company has a typical corporate structure with departments for engineering, sales, marketing, finance, and operations.

Key Offerings

• Market Share: Based on synergy research group RingCentral holds around 14% Market share in UCaaS.
• RingCentral MVP (Message, Video, Phone): RingCentral MVP is a unified communications platform that provides messaging, video conferencing, and phone services. Competitors include Zoom, Microsoft Teams, and Cisco Webex. LTM Revenue around $2.1 billion.
• RingCentral Contact Center: RingCentral Contact Center is a CCaaS solution providing omnichannel customer engagement. Competitors include Genesys, NICE, and Five9.

Industry Overview

The UCaaS and CCaaS market is experiencing rapid growth driven by the increasing adoption of cloud-based communication solutions and the need for flexible and scalable communication tools.

Positioning

RingCentral is positioned as a leading provider of UCaaS and CCaaS solutions, competing with established players and emerging startups.

Total Addressable Market (TAM)

The UCaaS market is projected to reach billions of dollars. RingCentral is aiming to capture a significant share of this market by expanding its product offerings and customer base.

Key Competitors

• ZM
• MSFT
• CSCO
• DT
• AVYA

Competitive Landscape

RingCentral's advantages include a comprehensive platform and strong brand, while its disadvantages may include a higher price point compared to some competitors. Competitively it lags behind some competitors.

Kindite

• Year: 2020
• Acquisition Price (USD millions):
• Strategic Rationale: Strengthened RingCentral's security capabilities.

Historical Growth: RingCentral has experienced significant growth in revenue and customer base over the past years.

Future Projections: Analysts project continued growth for RingCentral, driven by the increasing adoption of UCaaS and CCaaS solutions.

Recent Initiatives: Recent initiatives include expanding partnerships, launching new features, and focusing on AI-powered innovations.

RingCentral is a major player in the UCaaS and CCaaS markets, experiencing significant historical growth, however is lagging market share as compared to main competitors. Strengths include a comprehensive platform and strong brand recognition. Challenges include stiff competition, high acquisition costs and maintaining security in a quickly evolving market. Further expansion into new areas could increase profit margins.

• ZM
• MSFT
• CSCO
• DT
• AVYA
• MITK

Data Sources:

• Company Filings
• Market Research Reports
• Analyst Estimates
• Synergy Research Group

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered financial advice. Market share percentages are approximate and may vary depending on the source.