We’re recognized once again as a Leader in the 2018 Gartner Magic Quadrant for Unified Communications as a Service (UCaaS) worldwide. This year we outpaced the market and are positioned furthest to the right within the Leaders quadrant for completeness of vision and ability to execute. See the full report for more details.
We believe this distinction highlights our laser focus on innovation and delivering a world-class unified communications solution. RingCentral empowers IT leaders with the ability to exceed the communications requirements of today’s rapidly evolving digital workforce. These new requirements are rapidly eroding the foothold of legacy communications solutions. According to Gartner, “By 2021, 90% of IT leaders will not purchase new premises-based UC infrastructure — up from 50% today — because future cloud UC offerings will be far ahead in terms of features, functions, portals, analytics and dashboards.”
Today’s workers are overwhelmed with the multitude of communications apps that are meant to improve collaboration yet are hindering productivity. Based on a recent survey by CITE Research, workers waste up to 60 minutes a day simply navigating between these apps. Our approach, Collaborative Communications, empowers people to work the way they want by putting collaboration at the center and enabling seamless integrations with enterprise workflows. For RingCentral, this is about delivering a truly unified communications experience that combines messaging, calling, and meeting, and simplifies the way you communicate, share content, and manage projects. It’s also about an open platform that lets you integrate these Collaborative Communications capabilities with core business applications, giving you the ability to customize workflows and create seamless experiences for end users.
In 2018, we delivered on several key milestones in support of our Collaborative Communications vision. The RingCentral App is an all-in-one voice, team messaging, and video conferencing solution that transforms the way people communicate and collaborate. Collaborative Meetings is a high quality, best-in-class video conferencing and collaboration solution that allows customers to connect from anywhere, and at any time. Collaborative Contact Center puts collaboration at the center of the customer experience, empowering businesses to solve customer issues quickly, while increasing sales volume and maximizing agent performance.
Collaborative Communications also enables seamless business workflows across workplace apps. Today, RingCentral offers over 150 published integrations with popular business applications via the RingCentral app gallery, with over 14,000 developers creating custom apps.
RingCentral continues to expand into new global markets, extending our capabilities to support customers wherever they may be. RingCentral Global Office is now available in 39 countries, includes international SMS, and offers language services extended to Japanese and Portuguese. In 2018, we expanded our global footprint in Asia Pacific with a new office in Australia. We added new leadership, channel partnerships, and local product offerings. The experience is fully localized, with customers benefiting from direct peering with tier one local operators, multi-language support, and regional billing.
Our efforts are bearing fruit and reflected in our Q2 2018 earnings results, with total revenue growing 34% year-over-year. Our mid-market and enterprise customer segments continued to grow by 80% year-over-year and are now a $237 million business. Our channel business also grew 100% year-over-year to $139 million.
2018 so far has been a record year for RingCentral. We’ve delivered new innovations, expanded into new global markets, and seen significant growth and momentum in the mid-market and enterprise. And we’re only getting started.
I want to thank our global customers, partners, and employees for their support and commitment to RingCentral and look forward to more great things to come.
*This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from RingCentral.
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Gartner Magic Quadrant for Unified Communications as a Service, Worldwide; Daniel O’Connell, Megan Fernandez, Rafael Benitez, Bjarne Munch, Christopher Trueman, Mihai Nguyen; 10 October 2018