Net2Phone
Net2Phone is a cloud communications provider offering business telephony, unified communications, contact-center, video, messaging, and related communications services.
Last updated August 26, 2026
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Overview
Net2Phone is a cloud communications brand and service provider whose business is centered on internet-based voice and unified communications for organizations. The company operates as a subsidiary of IDT Corporation and traces its origins to the early commercial development of voice over Internet Protocol (VoIP). Founded in 1990 by telecom entrepreneur Howard Jonas, Net2Phone was created during a period when traditional public-switched telephone networks and carrier interconnections dominated long-distance and international communications. It used IDT's telecommunications infrastructure and carrier relationships to help move voice traffic from conventional networks onto IP-based systems. Net2Phone became one of the more visible early internet-telephony companies during the late-1990s technology boom. It completed an initial public offering on July 30, 1999, raising $81 million. The company's shares rose sharply on the first trading day and continued to appreciate during the following weeks. IDT retained majority control after the offering. In 2000, a telecommunications consortium led by AT&T invested $1.4 billion for a minority stake, a transaction that reflected the high expectations surrounding internet telephony at the height of the dot-com era. Net2Phone subsequently went through restructuring and strategic changes as the market matured, including workforce reductions in 2002 and the eventual repurchase of publicly held shares by IDT in 2006. The business later moved beyond basic consumer and carrier VoIP toward hosted business communications. In 2015, Net2Phone began developing a unified communications as a service offering aimed particularly at small and medium-sized businesses. Its UCaaS proposition combined business voice with video, messaging, text communications, analytics, call-management tools, and integrations with commonly used customer-relationship and collaboration software. The company expanded this offering across Latin American markets, including Argentina, Brazil, Colombia, Mexico, and Peru, using local infrastructure, communications licenses, staff, languages, and currencies. Net2Phone broadened its capabilities through acquisitions. It acquired Aplio, an internet-appliance company, in 2000 and iPing in 2001. In 2017, it acquired Live Ninja, adding customer-facing messaging and live-chat capabilities. The following year, it released an updated communications platform incorporating technology from that acquisition. Versature, a Canadian hosted business-communications provider, was acquired in 2019, followed by Spain-based RingSouth Europa in 2020. During the COVID-19-driven shift toward remote and distributed work, Net2Phone introduced a Microsoft Teams integration and launched Huddle, its own video-conferencing service. It also developed integrations with Salesforce, Zoho, Slack, and other business tools. In 2022, Net2Phone acquired Integra CCS, a Uruguay-based contact-center services provider. That transaction supported the company's expansion from UCaaS into contact-center-as-a-service through the uContact platform, which provides omnichannel communications, workflow tools, chatbots, social-media channels, and related contact-center functions. In 2023, Net2Phone introduced Net2Phone AI as an add-on focused on transcription, sentiment analysis, call summaries, coaching notes, follow-up email generation, analytics, and CRM connectivity. Its current portfolio therefore spans business telephony, SIP trunking, unified communications, video conferencing, customer messaging, contact centers, and AI-assisted interaction analysis.
History
Net2Phone was established in 1990 by Howard Jonas, a telecommunications entrepreneur who also led IDT Corporation. From its beginning, the company pursued the commercialization of voice over Internet Protocol, using IDT's carrier infrastructure and international telecommunications relationships. Its strategic premise was that voice could increasingly be transported over internet-based networks rather than relying exclusively on traditional public-switched telephone networks and conventional interconnections. This positioned Net2Phone among the early companies associated with commercial internet telephony. The company became publicly visible during the late-1990s dot-com expansion. On July 30, 1999, it completed an initial public offering that raised $81 million. The stock rose 77% on its first trading day to $26 per share and later reached $53 per share within several weeks. IDT retained a 57% interest after the offering. In March 2000, a group of telecommunications companies led by AT&T announced a $1.4 billion investment for a 32% stake, purchasing shares at $75 each. The transaction closed in August 2000. AOL had also shown interest in acquiring all or part of the company, but the parties did not agree on valuation. Net2Phone's early-2000s history reflected the volatility of the internet-telephony sector. President Jonathan Fram left in August 2000 to join eVoice. In September of the same year, Net2Phone formed Adir Technologies with Cisco Systems to acquire Netspeak. The relationship later deteriorated, and Net2Phone sued Cisco for breach of contract in March 2002. In February 2002, the company announced 110 layoffs, equivalent to 28% of its workforce. It also pursued acquisitions, buying Aplio, an internet-appliance maker in San Bruno, California, in 2000 and iPing in 2001. Liore Alroy became chief executive officer in October 2004. IDT consolidated ownership in 2006 by acquiring the Net2Phone shares it did not already own for $2.05 per share on March 13. The transaction removed Net2Phone from the public markets and reestablished it as an IDT-controlled operating business. Over time, the company shifted its emphasis from early internet telephony and consumer-oriented VoIP toward hosted communications for businesses. A major strategic transition began in 2015, when Net2Phone introduced a unified communications as a service offering for the small and medium-sized business market. Under the leadership of president Jonah Fink and the broader management team, the company developed services that combined voice with video, messaging, text, reporting, analytics, and integrations with business software. It expanded the UCaaS operation into Argentina, Brazil, Colombia, Mexico, and Peru, using local infrastructure, licenses, personnel, language support, and local currencies. The company then used acquisitions to extend its communications stack. Live Ninja was acquired in January 2017 to add customer-facing messaging and live-chat management. An updated platform incorporating those capabilities followed in 2018. Net2Phone acquired Versature in 2019 to strengthen its Canadian hosted-business-communications presence and acquired RingSouth Europa in 2020 to expand in Spain. In response to the rapid move toward remote work during the COVID-19 pandemic, Net2Phone launched a native Microsoft Teams integration and Huddle video conferencing in 2020, followed by integrations with Salesforce, Zoho, Slack, and other tools. In 2022, the acquisition of Integra CCS expanded the portfolio into contact-center-as-a-service. Its uContact offering provides omnichannel communications, social-media and chat support, chatbots, workflow management, and development tools. Net2Phone added an artificial-intelligence layer in July 2023 through Net2Phone AI, which supports transcription, sentiment analysis, automated summaries, follow-up messages, coaching notes, analytics, and CRM connectivity. The company is therefore best understood as an IDT-owned cloud communications provider whose present scope extends from business telephony and SIP trunking to UCaaS, video, messaging, contact centers, and AI-enabled communications operations.
- 2023
Net2Phone AI release
[1]Net2Phone introduces an AI add-on for transcription, sentiment analysis, summaries, coaching, analytics, and CRM-connected workflows.
- 2022
Integra CCS acquisition
[1]The company acquires Integra CCS and expands its contact-center-as-a-service capabilities.
- 2020
Expansion into Spain and remote-work communications
[1]Net2Phone acquires RingSouth Europa and launches Huddle and a Microsoft Teams integration during the pandemic-era shift to remote work.
- 2019
Versature acquisition
[1]Net2Phone acquires the Canadian hosted-business-communications provider Versature.
- 2017
Live Ninja acquisition
[1]The acquisition adds customer-facing messaging and live-chat capabilities.
- 2015
UCaaS expansion
[1]Net2Phone begins offering unified communications as a service to small and medium-sized businesses.
- 2006
IDT completes full ownership acquisition
[1]IDT acquires the shares it does not already own, taking Net2Phone private.
- 2001
iPing acquisition
[1]The company acquires iPing.
- 2000
AT&T-led investment
[1]A telecommunications consortium led by AT&T invests $1.4 billion for a 32% interest in Net2Phone.
- 2000
Aplio acquisition
[1]Net2Phone acquires Aplio, an internet-appliance maker based in San Bruno, California.
Products and positioning
A business-focused cloud communications provider combining VoIP, UCaaS, CCaaS, video, messaging, SIP trunking, and software integrations for small and medium-sized businesses and other organizations.
Unified communications as a service · 2015
UNITE
UNITE is Net2Phone's unified communications platform for businesses. It combines cloud voice, video, chat, texting, call-management functions, reporting, analytics, and integrations with business software. The service is managed through a web-based interface and is intended to provide organizations with a consolidated communications environment rather than separate systems for telephony, messaging, meetings, and collaboration.
Contact-center as a service · 2022
uContact
uContact is Net2Phone's contact-center platform, associated with the company's acquisition of Integra CCS in 2022. It supports omnichannel customer interactions across voice and digital channels, including chat and social media. The platform also includes chatbots, workflow management, and development tools intended to help organizations configure and extend contact-center operations.
Video conferencing · 2020
Huddle
Huddle is Net2Phone's high-definition video-conferencing service, introduced in April 2020 as organizations moved rapidly toward remote and hybrid work. Its stated capabilities include passcode-protected and encrypted meetings, screen sharing, YouTube casting, chat messaging, and a raise-hand function. The service is accessible through desktop and mobile devices.
Artificial-intelligence communications add-on · 2023
Net2Phone AI
Net2Phone AI is an add-on designed to analyze and improve business-agent and customer interactions. Its functions include sentiment analysis, automatic call transcription, generated follow-up emails, call summaries, AI-created coaching notes, call analytics, and CRM integrations. The service supports multiple languages and can connect with communications or voice platforms that expose API webhooks.
Business voice connectivity
SIP Trunking
Net2Phone's SIP trunking service allows businesses to carry voice and data through an IP-based communications architecture without replacing all existing equipment. The offering is described as supporting high-quality voice, international calling, hybrid SIP and hosted deployments, security features, multiple codecs, and a redundant network design.
Brand decisions
2023
Introduction of Net2Phone AIProduct launchBackground
Business communications providers were adding automation and analytics to help organizations interpret interactions and improve agent performance.
Action taken
Net2Phone released Net2Phone AI as an add-on with transcription, sentiment analysis, generated summaries, follow-up messages, coaching notes, analytics, and CRM connectivity.
Aftermath
The launch extended Net2Phone's product scope from communications delivery into AI-assisted analysis and workflow automation.
2022
Acquisition of Integra CCSM&ABackground
Net2Phone's unified communications portfolio did not by itself cover the full range of contact-center functions required for omnichannel customer service.
Action taken
The company acquired Integra CCS, a Uruguay-based contact-center-as-a-service provider.
Aftermath
Integra's capabilities supported the uContact platform and expanded Net2Phone into contact-center workflows, social channels, chatbots, and related digital-service functions.
2020
Launch of Huddle and Microsoft Teams integrationProduct launchBackground
The COVID-19 pandemic accelerated the movement toward remote and distributed work, increasing demand for online meetings and integrated workplace communications.
Action taken
Net2Phone launched its Huddle video-conferencing platform and introduced a native integration with Microsoft Teams, followed by integrations with CRM and collaboration tools.
Aftermath
The product expansion connected Net2Phone's business telephony and UCaaS services with broader remote-work and productivity environments.
2015
Shift toward UCaaS for small and medium-sized businessesStrategyBackground
The company sought to develop beyond standalone VoIP and address broader business communications needs, including messaging, video, analytics, and software integrations.
Action taken
Net2Phone launched a unified communications as a service initiative aimed at the small and medium-sized business market.
Aftermath
The initiative became the basis for regional expansion across Latin America and for the later development of an integrated communications platform.
Recent events
- 2023
Net2Phone introduces Net2Phone AI[1]
Product launch
Net2Phone released an AI add-on offering functions such as sentiment analysis, automatic transcription, generated call summaries, coaching notes, follow-up emails, analytics, and CRM integrations.
- 2022
Net2Phone acquires Integra CCS[1]
M&A
The company acquired Integra CCS, a Uruguay-based contact-center-as-a-service provider, supporting expansion into omnichannel contact-center solutions.
- 2020
Net2Phone acquires RingSouth Europa and launches remote-work tools[1]
M&A · Product launch
Net2Phone acquired RingSouth Europa, a business communications provider based in Murcia, Spain. During the pandemic-driven shift to remote work, it also introduced a Microsoft Teams integration and launched Huddle video conferencing.
- 2019
Net2Phone acquires Versature[1]
M&A
Net2Phone acquired Versature, a Canadian software-as-a-service business communications and hosted-VoIP provider.
- 2018
Net2Phone updates its communications platform[1]
Product launch · Product generation
Net2Phone launched an updated communications platform incorporating capabilities and technology obtained through the Live Ninja acquisition.
- 2017
Net2Phone acquires Live Ninja[1]
M&A
The company acquired Live Ninja, a Miami-based provider of customer-facing messaging and live-chat management services.
- 2015
Net2Phone expands into unified communications as a service[1]
Product launch
Net2Phone began offering UCaaS for small and medium-sized businesses, broadening its focus from internet telephony to integrated business communications.
- 2006
IDT takes Net2Phone private[1]
M&A
IDT Corporation acquired the Net2Phone shares it did not already own for $2.05 per share, ending the company's status as a separately traded public company.
- 2002
Net2Phone sues Cisco over Adir Technologies agreement[1]
Lawsuit
After forming the Adir Technologies joint venture with Cisco to acquire Netspeak, Net2Phone sued Cisco in March 2002, alleging breach of contract.
- 2002
Net2Phone announces workforce reduction[1]
Other
The company announced 110 layoffs, representing approximately 28% of its workforce, as the internet-telephony market adjusted after the dot-com downturn.
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