Shares of RingCentral (RNG) - Get Report rose Thursday, as the collaboration technology company, which competes with Zoom Video Communications (ZM) - Get Report, unveiled a new product, RingCentral Video.
The new videoconferencing service will be part of RingCentral’s communications package, which also includes messaging and voice features.
“The world is experiencing the largest work-from-home demand ever,” RingCentral Chief Executive Vlad Shmunis said in a statement.
“Today, we’re taking the next step in delivering a world-class seamlessly integrated [Message Video Phone] experience to further enhance employee productivity as they work from anywhere.”
RingCentral said the new video offering is tightly integrated with business productivity applications such as Microsoft (MSFT) - Get Report Teams and Office 365, Alphabet’s (GOOGL) - Get Report Google G-Suite, Slack (WORK) - Get Report, and others.
For now, at least, RingCentral users who already have licensed versions of Zoom’s video offering in their RingCentral package can continue to use Zoom. It’s not clear whether RingCentral will make its new product a stand-alone service going forward.
RingCentral Video is browser-based, so users don’t have to complete an application to deploy it. And they can connect to the service from any device.
While RingCentral’s stock is rising, Zoom, the stock market’s recent darling, is tumbling. That’s because users are complaining it has lax privacy protections.
And paid customers complain they are unable to get quick help from the company, as the number of unpaid customers soars amid the coronavirus pandemic.
RingCentral shares recently traded at $215.06, up 2.1%, while Zoom shares traded at $121.61, down 11%.
To be sure, over the last three months, Zoom’s stock has soared 79%, compared with a 31% climb for RingCentral.