Alianza has confirmed its acquisition of Metaswitch from Microsoft in a major shakeup of the UCaaS landscape.
First revealed in December, cloud communications leader Alianza has completed its acquisition of Metaswitch from Microsoft, following the Definitive Agreement announced in December 2024. Alianza affirms that by combining Metaswitch’s capabilities with its own cloud-native solutions, service providers can modernise core networks, enhance operational efficiency, and unlock new revenue opportunities through innovative offerings.
“The acquisition of Metaswitch by Alianza will accelerate product innovation and growth for thousands of service providers across the industry who face similar obstacles in modernising their networks,” said Brian Beutler, CEO and founder of Alianza.
Network infrastructure and operating complexity is often an insurmountable barrier for communications service providers, but with the combination of Alianza and Metaswitch, we are bringing together two world-class teams with complementary expertise to overcome challenges and unleash innovation at a pace not seen in decades across the telecom ecosystem.”
With the completion of this acquisition, Alianza now serves over 1,000 comms service providers, including 19 of the top 20 global operators.
The company will continue supporting Metaswitch’s existing products while integrating its cloud-native technology into a unified portfolio. This aims to provide service providers of all sizes with a secure, reliable path to modernise legacy infrastructure, enabling AI-driven features that enhance customer experiences.
“What this means for the industry: A new significant competitor in the service provider core, particularly outside North America,” Dom Black, Principal Analyst at Cavell, wrote on LinkedIn. “Disruption for UCaaS platform providers who have been targeting. Metaswitch’s service provider base post-Microsoft. More platform choices for international service providers.”
What Impact Will This Deal Have On The UCaaS Space?
Alianza’s Metaswitch acquisition empowers the comms giant with a large UCaaS base outside the US for the first time, with a remit encompassing all but one of the top 20 global operators.
Successfully migrating Metaswitch’s customer base to the cloud will be a challenge, as will winning customers’ trust with a clear long-term vision built around progress and stability. The company’s established cloud expertise and holistic portfolio of providers stand the business in good stead.
But what does this mean for UCaaS at large beyond the implications for the combined business?
Metaswitch has been a longstanding player in carrier-grade voice solutions. Under Microsoft, its potential to integrate with Teams and Azure heavily implied a plan around deeper telecom-cloud convergence. However, Microsoft’s decision to divest suggests a refined focus on enterprise collaboration rather than telco infrastructure.
For IT leaders, this move underscores the swelling importance of cloud-native voice offerings specifically tailored to service providers. Alianza, naturally a strong advocate for cloud-based telecom, now adds a mature, feature-rich stack that can propel its vision. As a broader side effect, this could drive innovation and competition, particularly for operators eyeing a feasible alternative to traditional network architectures.
Similar to Amazon’s recent shuttering of Chime and adoption of Zoom, the deal also raises questions about long-term UCaaS market consolidation. With hyperscalers focusing on software ecosystems rather than carrier technology, service providers may need to rethink partnerships to maintain differentiation.
They can also benefit from Alianza’s explicit focus on service providers with this acquisition.
“This is about reclaiming their right to win,” Brian Beutler, CEO of Alianza, told UC Today in December. “Service providers have invested huge amounts in world-class networks but haven’t seen an equivalent increase in revenue. Now, with a trusted partner dedicated to their success, they have hope again.”