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8x8 Acquires Zerigo to Broaden Portfolio of Cloud Hosting Services

Jun 20, 2011

SUNNYVALE, Calif., June 20, 2011 (GLOBE NEWSWIRE) -- 8x8, Inc. (Nasdaq:EGHT), provider of innovative business communications and cloud computing solutions, today announced that on June 17, 2011 it acquired Zerigo, Inc, a Littleton, Colorado-based company providing virtual private servers, managed DNS services, and monitoring tools for cloud-based server operations. Financial terms of the deal were not disclosed.

The acquisition of Zerigo aligns with 8x8's strategic plan to grow its cloud-based offerings through both organic and inorganic activities. This acquisition follows the earlier purchase of Central Host, Inc. in May 2010 and broadens 8x8's portfolio of managed server solutions tailored for small to medium sized businesses, a market it has been serving with cloud-based communications solutions since 2004. In addition to existing relationships with customers such as subsidiary Heroku, the leading Ruby platform as a service (PaaS), the Zerigo acquisition provides 8x8 with expanded cloud computing capabilities designed to help businesses lower their IT infrastructure costs and management requirements while improving performance and flexibility.

"Zerigo's software technologies will greatly enhance the capabilities of 8x8's cloud hosting services by providing real-time provisioning and elasticity of our compute services," said Bryan Martin, Chairman and Chief Executive Officer of 8x8, Inc. "We are excited to make Zerigo's existing technologies available to our customers and plan to extend them to our enterprise-class private cloud and VMware offerings. The Zerigo acquisition will significantly advance our research and development activities in this area."

Zerigo provisions virtual private servers on a monthly basis and cloud servers on an hourly basis utilizing its internally developed virtualization technologies. In addition to native IPv6 connectivity, Zerigo solutions support 32- and 64-bit versions of popular operating systems with RAID-10 storage and self-service server provisioning, upgrades and downgrades in real time. Zerigo's hosted DNS service is geographically aware and enables automatic management of virtualized server resources worldwide, with support for all common DNS records and importing/exporting DNS name server records. Zerigo's Watchdog service provides 24x7 monitoring for all provisioned services with a central dashboard, pre-configured and customizable monitoring parameters, and a rich array of monitoring service checks.

"Zerigo is thrilled to join the 8x8 team," said Tom Morgan, Zerigo's Chief Executive Officer and Founder, and now 8x8 Cloud Architect. "8x8 is one of the leading cloud communications companies in the world and has developed a world-class operations and support infrastructure which will enable Zerigo to focus on research and development activities toward new 8x8 services and offerings."

Zerigo operates cloud services that are hosted in Denver, Dallas, Washington, DC, London, Amsterdam and Singapore.

8x8 will be exhibiting its combined 8x8 and Zerigo cloud communications and hosting services this week at Structure 2011, GigaOM's flagship conference on Cloud Computing and Internet Infrastructure, on June 22 and 23, 2011 at the Mission Bay Conference Center in San Francisco, California. More information on this event is available at

About 8x8, Inc.

8x8, Inc. (Nasdaq:EGHT), a pioneer in the development of cloud-based VoIP, video, mobile, and unified communications solutions, leverages its patented software technologies to deliver industry-leading SaaS applications to businesses of any size with employees in any location. We offer integrated business communications and cloud computing services that are designed to meet the highest levels of availability, reliability and scalability. Increasingly, businesses are finding they can reduce costs, improve productivity, and be positioned competitively for the future by choosing 8x8 for their mission critical, cloud-based communications and computing needs.  For additional information, visit, or connect with 8x8 on Facebook and Twitter.

Forward Looking Statements

This news release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. These statements include, without limitation, information about future events based on current expectations, potential product development efforts, near and long-term objectives, potential new business, strategies, organization changes, changing markets, future business performance and outlook. Such statements are predictions only, and actual events or results could differ materially from those made in any forward-looking statements due to a number of risks and uncertainties. Actual results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors. These factors include, but are not limited to, customer acceptance and demand for our products and services, the reliability of our services, the prices for our services, customer renewal rates, customer acquisition costs, actions by our competitors, including price reductions for their telephone services, potential federal and state regulatory actions, compliance costs, potential warranty claims and product defects, our needs for and the availability of adequate working capital, our ability to innovate technologically, the timely supply of products by our contract manufacturers, potential future intellectual property infringement claims that could adversely affect our business and operating results, and our ability to retain our listing on the NASDAQ Capital Market. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's reports on Forms 10-K and 10-Q, as well as other reports that 8x8, Inc. files from time to time with the Securities and Exchange Commission. All forward-looking statements are qualified in their entirety by this cautionary statement, and 8x8, Inc. undertakes no obligation to update publicly any forward-looking statement for any reason, except as required by law, even as new information becomes available or other events occur in the future.

CONTACT: Joan Citelli

         (408) 654-0970
Source: 8x8, Inc.

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