Cloud-based collaboration and communication provider RingCentral has recently broadened the appeal of its ‘RingCentral DaaS’ device-as-a-service offer by adding desk and conference phones to the existing portfolio, which includes headsets and video conferencing hardware.

RingCentral DaaS customers pay an upfront fee followed by a monthly recurring subscription charge. All hardware logistics are outsourced to RingCentral, from acquisition, support, and upgrades. RingCentral DaaS is targeted at businesses of all sizes based in the US (but will be expanding to overseas customers).

There are several intriguing aspects of the offer. Buying hardware on a monthly subscription basis is more cost-effective than issuing a large capital outlay upfront (as you only pay for the use and not for the ownership of the devices), which will appeal to enterprises with a low CapEx financial strategy.

Having a single point of contact for all device-related matters (such as purchasing, troubleshooting, and upgrading) is far simpler and more manageable than dealing with multiple vendors.

RingCentral troubleshooting benefits

Because RingCentral handles troubleshooting, the load on IT departments is reduced, which allows them to focus on mission-critical issues. Also attractive is that the offer bundles services and equipment used company-wide for a single monthly price. Perhaps the most compelling piece is that only needed devices are procured, making equipping a remote workforce much less expensive, which is very pertinent in the current environment of hybrid work.

Although solid, RingCentral DaaS is a ‘standard issue’ DaaS offer as it provides little differentiation from rivals such as Cisco and Zoom. Nonetheless, its presence in RingCentral’s portfolio feeds the company’s continuing transformation into a serious contender in the cloud-based collaboration space and dovetails with broad, device-related market trends.

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By GlobalData

Devices now support reimagined office designs that are more meeting-oriented and aid workers who need to communicate and collaborate whether on site, at home, or on the move. These new designs level the playing field between remote and in-office workers and should provide incentives to come into the office. With a critical mass of workers migrating back to the workplace, these benefits are timelier than ever.

Competitors and ‘feature wars’

In addition to enhancing office environments, devices have become a competitive differentiator. Since the meteoric rise in usage of cloud-based collaboration platforms resulting from the Covid-19 pandemic, competitors have engaged in ‘feature wars’ characterized by successive rounds of layering new capabilities onto their platforms.

Only relatively recently has it become recognized that a solid device lineup must accompany those enhancements. Cisco and Zoom, for example, have been aggressive about adding new devices to augment their expanding list of features.

In expanding its DaaS offer, RingCentral is acknowledging that alignment with these device trends is necessary to compete. It is also acknowledging that competing requires a broad platform encompassing both software and hardware capabilities. RingCentral has now augmented its core phone, meetings, contact center, and events features with a DaaS program that accompanies its device hardware lineup. If RingCentral keeps innovating on its current path, it should maintain a presence among top players in the cloud-based collaboration market.