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Google Confirms Purchase Of VOIP Provider Gizmo5

Google (NSDQ: GOOG) has confirmed its purchase of VOIP startup Gizmo5. The deal had been rumored earlier this week. In a short post on the Google Voice blog, Google said no new features would immediately come to its products, but it did say that Gizmo5’s engineers would join the Google Voice team to “continue improving the Google Voice and Gizmo5 experience.”

Terms of the deal were not disclosed, although TechCrunch — which first reported that Google had purchased the startup — put the purchase price at $30 million. Gizmo5 had raised $6 million in a round of funding three years ago.

In September, Google CEO Eric Schmidt said the company was once again on the acquisition trail. He obviously was not kidding. After a streak of eleven months without a single purchase, Google has now bought up four companies in the last four months: video compression firm On2, “captcha” startup reCaptcha, mobile ad network adMob, and Gizmo5.

So, why might Google want Gizmo5? TechCrunch’s Michael Arrington suggested earlier this week that Google made the buy because Gizmo5

2 Responses to “Google Confirms Purchase Of VOIP Provider Gizmo5”

  1. redpepper

    magicJack Users Can Now Connect To Google's Gizmo5

    Users of the magicJack can now place and receive calls using almost any phone provider in the world including Gizmo5 recently acquired by Google. To top it off, magicJack users now also have a means of connecting directly to office PBX systems using the industry standard SIP communications protocol.

    To take advantage of these new "open network" calling possibilities, magicJack users simply need to install the new SIP dialer software plugin "XlitejackPlugin". "XlitejackPlugin" allows magicJack and SIP calls to be placed concurrently from the same regular or cordless phone.

    The SIP dialer software plugin supports the use of Counterpath Corporation's X-Lite SIP softphone dialer. Almost every phone provider in the world provides setup instructions and support for using the X-Lite SIP softphone dialer with their networks.

    To place SIP calls, just dial # before the number you want to call. Regular magicJack calls are placed as normal. For incoming calls, just answer the phone when it rings.

    "XlitejackPlugin" can be downloaded at