Cytracom has hired Datto and SnapAV veteran John Tippett as chief operating officer (COO). The move is part of a larger Cytracom strategy to further accelerate unified communications as a service (UCaaS) specifically designed for MSPs that support small business customers.
Tippett joins Cytracom roughly one year after growth equity firm Sverica Capital Management acquired the UCaaS provider. Backed by that funding, Cytracom grew substantially while working with MSP partners that navigated the coronavirus pandemic, CEO Zane Conkle tells ChannelE2E.
Indeed, the company has doubled headcount and now has roughly 100 employees. While Conkle focuses on product innovations, Tippett now leads the UCaaS company's executive management team.
"The primary objective for John is to drive the operating model," Conkle says. "In doing so, that frees me up to focus on our innovation cycles. We have a long-term plan in place to connect the modern workforce. That requires not only expanding our products but also scaling the team."
Enter Tippett, who becomes Cytracom's first COO. Tippett is well-known within MSP circles. He previously led Datto's networking business, and has been particularly active in CompTIA -- the IT-focused association that works closely with channel partners and IT professionals.
UCaaS Market Forecast, Competition
No doubt, Cytracom targets a growing industry. Indeed, the global UCaaS market is expected to expand at a compound annual growth rate (CAGR) of 23.6 percent from 2021 to 2028 -- reaching $210.07 billion by that time, Grand View Research predicts.
Amid that growth, M&A activity in the UCaaS market has been strong. Key investors and buyers include cloud, IT consulting, communications and private equity firms.
Still, the M&A activity and market growth may also trigger intensified competition. In some ways, giants like Zoom, Microsoft Teams and Cisco Webex are moving toward UCaaS. Plus, companies such as 8x8, Mitel and RingCentral loom large in the market. And firms such as BVoIP and Intermedia also engage MSPs.
Amid all the competition, there may also be some yellow-flag warning signs in the UCaaS market. Chief among them: Intermedia recently postponed an IPO. Intermedia blamed adverse financial market conditions for the IPO delay, even though multiple technology firms had launched successful IPOs around the same time.
Cytracom Remains Aligned With MSPs for Growth
Although the UCaaS market is crowded, Cytracom sees plenty of opportunity for continued growth. The industry is now "so much more than a PBX in the cloud and VoIP phone on the desk," Conkle says.
While services such as Microsoft Teams are good for internal communication and collaboration, a true UCaaS and messaging platform like Cytracom connects consumers and customers to businesses, and so much more, he adds.
Looking ahead, Cytracom will focus on organic growth -- though Conkle left the door open for potential strategic acquisitions, stating:
“What I can tell you is that Cytracom is laser-focused in our mission to connect the modern workforce. This vision of the future extends beyond the traditional definition of UCaaS and as such we are continually evaluating new products and services that enable us to deliver value where our partners and customers are currently underserved. We view M&A activity as a potential tool to help us achieve our goals, and will entertain any and all opportunities that aid in seeing our vision fulfilled.”
Translation: Stay tuned.