The company announced this $7.5 Million Round of Financing will be used to fuel Whaleback’s market expansion and product development initiatives. Also, the company will utilize the financing to expand Whaleback’s channel and geographic market coverage and to fund aggressive feature development for Whaleback’s CrystalBlue™ Voice Service for Small and Medium Businesses (SMBs). Whaleback Systems is a Managed Service Provider (MSP) and the pioneering developer of the first business phone solution built from the ground up for broadband.

The company’s CrystalBlue Voice Service is monitored and maintained around the clock and allows SMBs to gain the benefits of full-featured IP telephony without the costs and limitations of IP Centrex services or the capital and operating costs of deploying and self-managing IP PBX platforms originally designed for large companies but scaled back to accommodate SMBs.

“Whaleback was founded on a new approach to IP telephony that promises to bring the advanced features and low costs of VoIP to millions of SMBs for the first time,” said Roger Walton, a partner at Castile Ventures. “No small or medium business wants to become its own phone company, and Whaleback’s innovations have enabled the only managed telephony service that delivers the switching intelligence directly to the customer premises while monitoring the system 7 by 24 to provide reliable, no-hassle, full-featured business VoIP services. The team’s deep telephony roots have helped Whaleback design a solution that provides these benefits without compromising the high quality, ease-of-use and absolute reliability that businesses expect from phone systems. This is a company that is positioned to grow rapidly and build value, and we are very excited to be working with them.”

Castile Ventures is investing its third fund in innovative enterprises developing future generations of enterprise, mass market and service provider information technology. According to Mark Galvin, co-founder, president and CEO of Whaleback. “We are proud to receive the financial backing of Castile Ventures and will leverage the capital from this round of financing to broaden our market coverage and continue to aggressively develop advanced new VoIP features.”

Walton has now joined the Board of Directors of Whaleback Systems. “With a networking industry career spanning over twenty years, Roger brings a deep knowledge of networking technologies and marketing expertise to our Board,” said Galvin. “Roger has advised emerging and established product companies and service providers, and we welcome his insights and the strategic contributions he will make to the continued growth and success of Whaleback.