Frank Zvi 88 224.
(photo credit: Courtesy)
AT&T Inc., the world's largest telecommunications services company, has agreed to buy Web and video-conferencing company Interwise for $121 million, marking its first acquisition in the Israeli hi-tech industry.
"Our enhanced capabilities will enable businesses around the globe to use conferencing as more than just a substitute for face-to-face meetings," said AT&T President Ronald E. Spears. "The IP-collaboration solutions offered by Interwise will help customers increase the impact of their efforts by allowing employees to work on joint projects simultaneously with colleagues and partners, share information regardless of their location or device and make better business decisions."
Under the terms of the deal, which is expected to close in the fourth quarter, Interwise will operate as a business unit within AT&T Global Business Services. In addition, AT&T is committed to retain Interwise's management team and its domestic and international operations, including its R&D center in Israel.
Interwise, with operations in Airport City, was founded in 1994 by Frank Zvi, now the company's president and chief executive officer, and Hillel Kobrinsky, chief operating officer and vice chairman. Its conferencing technologies enable employees to treat voice, Web and video conferencing like e- mail, helping businesses to reduce costs, improve agility and make decisions with their colleagues, customers, partners and suppliers anytime, anywhere around the world.
After raising nearly $94m. in venture funding during the technology bubble, investors in Interwise, last year injected an additional $9m. into recapitalizing the company.
With headquarters in Cambridge, Mass., Interwise today employs approximately 150 people and operates in the US, Europe and Asia with offices in six countries.