Connection Telecom acquires FatBudgie and cements PBX market leadership

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Article source: ITWeb alt

Connection Telecom, the leading cloud-based PBX/call centre provider has acquired FatBudgie – itself a cloud PBX provider for business and a market leader in the SME/SOHO segment.

David Meintjes, Connection Telecom MD says the transaction increases the number of extensions serviced by the TELVIVA and FatBudgie PBX brands to 34,000 users in over 2,000 sites. The combined growth rate of the brands is expected to continue to exceed 50% year-on-year, as both entities are well placed to service market demand.

One company, two brands

Both will continue to trade under their respective service brands and maintain their own customer bases. Meintjes says the move is part of Connection Telecom's growth strategy, involving expansion of its market focus into new segments.

"The Telviva brand is primarily focused on medium to large business customers with a requirement for managed network access, whereas the FatBudgie brand is primarily geared to the provision of voice services over unmanaged, less expensive connectivity, largely utilised in the small business environment," he says.

Sacha Matulovich, FatBudgie MD says the company has already outsourced its voice platform to Connection Telecom (CTEL), to take advantage of its more sophisticated core environment, multiple carrier agreements and network redundancy.

"What's more, our customers can now call thousands of Connection Telecom customers for free," says Matulovich, when he describes the concept of the Free Calling Community being steered by Connection Telecom.

The move will further enable FatBudgie to continue to use its existing access networks, while expanding and improving its product set with cloud-based videoconferencing, hosted contact centre and business intelligence products.

The Connection Telecom core infrastructure is provided from two data centres to ensure higher service levels. FatBudgie now also has the benefit of Connection Telecom's engineering resources, which will aid it in its technical customer support and new product innovation.

New energy

Matulovich has been very successful in carving out a growth path for FatBudgie over the last three years, and is respected as an energetic marketer with a customer-centric approach. He brings great customer experience and brand building to the Connection Telecom stable, and in addition to being CEO of the FatBudgie business, will also head up sales and marketing at Connection Telecom.

Consolidating market leadership

Meintjes says the acquisition serves to cement Connection Telecom's market leadership position in cloud-based communication. In addition, Connection Telecom will continue to target other companies like FatBudgie, to which virtualising services over an existing network would make sense. Connection Telecom currently has three large network players that have virtualised services in this manner.

"Market consolidation hasn't happened to any great degree elsewhere in the local market, but we believe that more PBX service companies would embrace the virtualised service model."


About FatBudgie

FatBudgie began over 10 years ago as a site-based PBX distributor. As demand for costs saving grew, FatBudgie introduced VoIP as a service to clients with VoIP-compatible PBXs. In 2011, FatBudgie deployed its own hosted PBX platform and began to actively market this as viable alternative to traditional site-based systems. The company converted almost all it's legacy customers to its hosted platform and is now 100% focused on marketing, installing and supporting cloud PBX. FatBudgie's success is attributed to its focus on delivering cloud telecoms to small businesses over various forms of connectivity, making it affordable and accessible. The team at FatBudgie is known to go way above expectations to help customers in need, regardless of their size. In this way, FatBudgie strives to be the hero for small business telecoms, and hopes to make their entire telecommunication experience a little more enjoyable every day. To learn more about what FatBudgie does and how it see the world, please visit

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