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Company Description

Contact Info

Building 2B

Poleg Industrial Area

12 Beni Gaon Street

Netanya, 42504


Phone: 972 9 970 3888


magicJack VocalTec Ltd., together with its subsidiaries, operates as a cloud communications company that offers magicJack devices and other magicJack products and services. The company’s products and services allow users to make and/or receive free telephone calls to and from anywhere in the world where the customer has broadband access to the Internet, and allow customers to make free calls back to the United States and Canada from anywhere legally permitted in the world. The company owns a micro-processor chip design company, an appserver and session border controller company, a wholesale provider of voice-over-Internet-protocol (VoIP) services, a softphone company, and the developer and provider of the magicJack device. The company also wholesales telephone service to VoIP providers and telecommunication carriers. Product and Service Offerings magicJack Devices The magicJack, magicJack PLUS, magicJack PLUS, magicJack GO and magicJack EXPRESS are VoIP devices weighing approximately 1 ounce and include the access right that enables customers to use the company’s software to access its servers for the initial access right period. Customers receive free VoIP phone service for their home, enterprise or while traveling. The magicJack PLUS contains a SoC (System on a Chip) that connects either to a computer USB like the original magicJack or directly to a broadband modem/router. Similar to the original magicJack, the magicJack PLUS also has a plug to which a regular phone can be connected. These features and capabilities allow users to replace their home or enterprise phone services with the magicJack PLUS, or simply use it as a second phone line. The company offers the magicJack PLUS that has voice quality, expanded memory and improved processing power. The magicJack PLUS includes a six-month right to access the company’s servers to make and receive telephone calls for free. In 2014, the company launched the magicJack GO, which includes a 12 month right to access the company’s servers. In May 2015, the company released the magicJack Express, which includes a three month access rights period. magicJack APP The magicJack APP is an application that allows users to make and receive telephone calls through the computer using a headphone or the computer's speakers and microphone or through their smart phones using their magicJack account. The magicJack APP is available for the iPhone, iPad, IPod Touch and Android smart phones. In April 2015, the company released the magicAPP Premium to iOS customers and in July 2015 the magicAPP Premium was made available to Android users. magicAPP Premium offers a U.S. number, unlimited local and long distance calling to the U.S., Canada, Puerto Rico and the U.S. Virgin Islands, and unlimited text messaging to any U.S. mobile number. The magicAPP Premium offers access to its servers for a fee on a monthly or annual basis. Access Right Renewals Customers who own a magicJack device or magicJack service might purchase access rights for continued use of the software to access the company’s servers for additional years. The company offers users access right periods ranging from one month to five years. Other magicJack-Related Products The company offers customers other products related to their magicJack devices and services, such as insurance, custom or vanity phone numbers, Canadian phone numbers, and the ability to port their existing phone numbers to a magicJack device. Prepaid Minutes The company’s customers could purchase minutes on a prepaid basis. Access and Wholesale Charges The company generates revenues from access fees charged to other carriers, as well as wholesaling telephone service to VoIP providers and telecommunication carriers. Marketing, Sales and Distribution The company distributes the magicJack devices through retail outlets, including Walmart, RadioShack, Best Buy, Target, Walgreens, Fry’s, and others, as well as through direct sales. Research and Development For the year ended December 31, 2015, the company’s research and development expenses were $4.5 million. Intellectual Property The company’s U.S. trademark reg

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