Why Vonage Is Acquiring Nexmo for $230 Million

The video discusses the company's recent earnings, highlighting a strong quarter with significant EBITDA growth. It announces the acquisition of Next MO, a strategic move to enhance its position in cloud communications. The company aims to shift its focus from residential to business customers, expecting business revenues to surpass residential by 2017. An example of the communication platform's application is provided, illustrating its integration in services like Uber. Despite positive developments, the company's stock is undervalued, but the acquisition is expected to increase in value over time.

What was the percentage increase in the business component of Vantage on a gap basis?

• 76%

• 90%

• 30%

• 50%

What is the primary focus of the Next MO acquisition?

• Expanding residential services

• Enhancing cloud communication platforms

• Developing new hardware products

• Increasing physical store presence

How does the communication platform benefit users in apps like Uber?

• By enabling in-app messaging and calls

• By tracking user locations

• By providing direct phone numbers

• By offering discounts on rides

What is the expected outcome of the business mix by 2017?

• Residential revenues will decline by 50%

• Residential revenues will double

• Business revenues will exceed residential revenues

• No change in revenue mix

How does the speaker describe the acquisition in terms of its future value?

• An immediate success

• A risky venture

• A short-term gain

• A fine wine increasing in value