Jaxtr bought by SabSe Technologies
Value-added application provider SabSe Technologies announced it has purchased jaxtr, a company offering free VoIP service to social networks and blogging platforms. Terms of the deal were not released, but based on jaxtr's staff reductions and several large funding rounds totaling more than $26 million, it's not likely jaxtr's venture capital investors reaped a profit on this play.
SabSe will continue to operate the jaxtr service under the brand name, and the buyer hopes to increase revenue by selling its applications through to jaxtr's more than 10 million users. SabSe, cofounded by Hotmail cofounder Sabeer Bhatia, plans also to use the jaxtr acquisition to bring additional functionality to SabSe's core small business offerings.
The Natural Convergence buy of NewStep Networks yesterday and the jaxtr deal today could signal the beginning of consolidation in the VoIP space, as companies that took down large amounts of VC funds without clear business models falter and require sale.
- see the press release here