Attachment Attachment 1

This document pretains to ITC-T/C-20160531-00162 for Transfer of Control on a International Telecommunications filing.

IBFS_ITCTC2016053100162_1137535

                                            Before the
                     FEDERAL COMMUNICATIONS COMMISSION
                                    Washington, D.C. 20554

In the Matter of the Joint Application of




                                                          S Stu ect Seat Ne Suat Neet Sst Seush Nest Nt Soest toes! Nes S Nust
inContact, Inc.
       Transferor
                                                                                                                                 WC Docket No.
and

NICE—Systems Ltd.
      Transferee

For Grant of Authority Pursuant to
Section 214 of the Communications Act of 1934,
as amended, and Sections 63.04 and 63.24 of the
Commission‘s Rules to Complete a
Transfer of Control of an Authorized
Domestic and International Section 214 Carrier



 STREAMLINED APPLICATION FOR AUTHORITY TO ASSIGN INTERNATIONAL
                AND DOMESTIC BLANKET SECTION 214 AUTHORITY

       inContact, Inc. ("inContact‘or "Transferor") and NICE—Systems Ltd. ("NICE Systems" or

‘"Transferee," and together with Transferor, the "Applicants"), pursuant to Section 214 of the

Communications Act of 1934,‘ as amended, and Sections 63.04 and 63.24 of the Commission‘s

Rules," respectfully request authority to complete a transaction whereby NICE Systems will

acquire ownership and control of inContact ("Transaction"). Applicants file this Application in

connection with an Agreement and Plan of Merger dated May 17, 2016 ("Agreement"). Although

the Transaction will result in a change in the ultimate ownership of inContact, no assignment of

licenses, assets, or customers will occur as a consequence of the proposed transaction. inContact

will continue to provide service to its existing customers under the same rates, terms, and



!47 U.S.C. § 214.
247 C.F.R. §§ 63.04, 63.24.


conditions.    Accordingly, the Transaction will be transparent to customers of inContact.       As

explained herein, this application qualifies for streamlined processing pursuant to Section 63.03

and 63.12° of the Commission‘s Rules.

   I.         Request for Streamlined Processing
          The Applicants respectfully request streamlined treatment of this Application pursuant to

Sections 63.03 and 63.12 of the Commission‘s Rules, 47 C.F.R. §§ 63.03 and 63.12. With respect

to domestic authority, this Application is eligible for streamlined processing pursuant Section

63.03(b)(2)(i) because, immediately following the transactions, (1) Applicants will hold less than

a ten percent (10%) share of the interstate, interexchange market; (2) neither Applicant provides

local exchange services; and (3) neither of the Applicants is dominant with respect to any service.


          With respect to international authority, this Application is eligible for streamlined

processing pursuant to Section 63.12(a)—(b) of the Commission‘s Rules, 47 C.F.R. § 63.12(a)—(b).

In particular, Section 63.12(c)(1) is inapplicable because neither of the Applicants is a foreign

carrier or is affiliated with any foreign carrier, and Section 63.12(c)(2) is inapplicable because

neither of the Applicants is affiliated with a dominant U.S. carrier whose international switched or

private line services that Applicant seeks authority to resell.

          In support of this Application, Applicants provide the following information:

    II.       Description of the Applicants:

              A. inContact, Inc.


          inContact is a Delaware corporation with principal business offices located at 75 West

Towne Ridge Parkway, Tower 1, Sandy, Utah 84070—5522.             inContact provides an integrated




347 C.F.R. § 63.03, 63.12.


software and cloud—based call center solution in all 50 states, the District of Columbia, and Puerto

Rico.       The Company‘s primary business is its call center offering, which includes

telecommunications services and Software as a Service components.          The Company provides

legacy 1+ domestic calling in addition to transmission to and from its cloud—based platform in

support of its call center services.    The call center offering enables basic call transmission

(domestic and international) in conjunction with software services such as call queuing, auto

attendant, and analytics.

              B. NICE—Systems Ltd.


           NICE Systems is a publicly traded company with business offices located at 13 Zachrin

Street, P.O. Box 690, 4310602, Ra‘anana, Israel. NICE Systems is a global market leader in

analytics—based customer service applications.     NICE Systems does not provide domestic or

international telecommunications services.


    III.      Description of the Transaction

           Pursuant to the Agreement executed among NICE Systems, inContact, and Victory Merger

Sub Inc. ("Merger Sub"), NICE Systems plans to acquire all of the voting securities of inContact.

According to the terms of the Agreement, NICE Systems will acquire ownership and control of

inContact by merging Merger Sub with and into inContact (the "Merger"), with inContact

surviving the Merger as a wholly—owned direct subsidiary of NICE Systems, Inc., a U.S.—based

Delaware corporation and wholly—owned direct subsidiary of NICE Systems. Applicants therefore

request authority for the transfer ofcontrol ofinContact to NICE Systems. For the Commission‘s

reference, pre— and post—Transaction organization charts are provided as Exhibit A.

           Following the proposed transaction, inContact‘s customers will remain customers of

inContact and will continue to receive services under the same rates, terms and conditions. As a


result, the Transaction will be virtually transparent to inContact‘s customers. The only change

resulting from the Transaction will be that inContact will be an indirect, wholly—owned subsidiary

of NICE Systems, which is well qualified to control the continuing operations of inContact.

   IV.       Public Interest Statement

         The proposed Transaction will serve the public interest by enhancing the ability of

 inContact and NICE Systems to expand their respective operations and compete more effectively

 in the telecommunications marketplace.        inContact will also have access to the financial,

 operational. and managerial resources of NICE Systems.        Such support will strengthen the

 competitive position of inContact, to the benefit of the telecommunications marketplace.

         Given the increasingly competitive nature of the telecommunications market, Applicants

 are seeking to complete the proposed Transaction as soon as possible to ensure that customers

 can obtain rapidly the benefits of the proposed Transaction. Accordingly, Applicants respectfully

 request that the Commission process, consider and approve this Application as expeditiously as

 possible.

    v.       Information Required by Section 63.24(e)

         In accordance with the requirements of Section 63.24(e) of the Commission‘s Rules, the

Applicants submit the following information:


63.18(a)      Name, address and telephone number of each applicant:

   Transferor:

   inContact, Inc.
   75 West Towne Ridge Parkway, Tower 1
   Sandy, Utah 84070—5522
   Telephone: (801) 320—3590
   Facsimile: (866) 800—0007

   Transferee:

   NICE—Systems Ltd.
   13 Zachrin Street
   P.O. Box 690
   4310602, Ra‘anana
   Israel
   Telephone: +972—9 7753777
   Facsimilie: +972—9 7753222

   63.18(b) Government, state or territory under the laws of which each corporate
   or partnership applicant is organized:

   inContact is a Delaware corporation. NICE Systems is organized in Israel.

   63.18(c) Answer to Question 10. Name, title, post office address, and telephone
   number of the officer or contact person to whom correspondence concerning the
   application is to be addressed:

   Transferor:

   Daniel Lloyd
   Matthew Crumley
   Gregory Ayers
   inContact, Inc.
   75 West Towne Ridge Parkway, Tower 1
   Sandy, Utah 84070—5522
   Telephone: (801) 320—3590
   Facsimile: (866) 800—0007
   E—Mail: daniel.lloyd@incontact.com
           matthew.crumley@incontact.com
           greg.ayers@incontact.com


With a copy to Counsel:

Allison D. Rule
Jacqueline R. Hankins
Joanna G. Wallace
MARASHLIAN & DONAHUE, PLLC
The CommLaw Group
1420 Spring Hill Road, Suite 401
Tysons, Virginia 22102
Telephone: 703—714—1312
Facsimile: 703—563—6222
E—Mail:    adr@CommLawGroup.com

Transferee:

Eran Liron
NICE—Systems Ltd.
13 Zachrin Street
P.O. Box 690
4310602, Ra‘anana
Israel
Telephone: +972—9 7753791
Facsimile: +972—9 7753522


With a copy to Counsel:

John Beahn
Joshua Gruenspecht
Skadden, Arps, Slate, Meagher & Flom LLP
1440 New York Avenue, NW
Washington, DC 20005
Telephone: (202) 371—7392
Facsimile: (202) 661—9192
E—Mail:    john.beahn@skadden.com
              joshua.gruenspecht@skadden.com

63.18(d)      Answer to Question 10. Section 214 Authorizations

Transferor:      inContact holds blanket domestic Section 214 authority and holds
international Section 214 authority granted in File No. ITC—214—19980407—00234.

Transferee: NICE Systems does not hold any Section 214 authority.


           63.18(h) Answer to Question 11: Name, address, citizenship and principal
           business of any person or entity that directly owns at least ten (10) percent of the
           equity of the applicant, and the percentage of equity owned by each of those
           entities:

           Pre—Transaction Ownership of inContact:

       The following entities and persons hold a 10% or greater direct ownership interest in
inContact:

       FMR LLC
       245 Summer Street
       Boston, Massachusetts 02210
       County of Citizenship: United States
       Principal Business: Investments
       Percentage of Equity Interest Held: 14.9%

The following individuals or entities own or control 10 percent or more of FMR LLC:

Members of the Johnson family, including Abigail P. Johnson, are the predominant owners,
directly or through trusts, of Series B voting common shares of FMR LLC, representing 49% of
the voting power of FMR LLC. The Johnson family group and all other Series B shareholders have
entered into a shareholders‘ voting agreement under which all Series B voting common shares will
be voted in accordance with the majority vote of Series B voting common shares. Accordingly,
through their ownership of voting common shares and the execution of the shareholders‘ voting
agreement, members of the Johnson family may be deemed, under the Investment Company Act
of 1940, to form a controlling group with respect to FMR LLC.

None of the sharcholders holding the remaining 85.1 percent of the equity interest of inContact
individually hold 10 percent or more.

           Pre— and Post—Transaction Ownership of NCE Systems:

        NICE Systems is a widely—held company listed on the NASDAQ and the Tel Aviv Stock
Exchange. No individual or entity directly or indirectly owns 10 percent or more of the Company
currently or will own such an interest after the proposed Transaction.

       63.18(h)       Answer to Question 12

       Applicants do not have any interlocking directorates with a foreign carrier.

       Answer to Question 13

       See Section III above.


63.18(i)       Answer to Question 14

Applicants certify that they are not foreign carriers, nor are they affiliated with foreign
carriers, nor will they become affiliated with foreign carriers as a result of the proposed
Transaction.

63.18(j)       Answer to Question 15

Applicants certify that they do not seek to provide international telecommunications
services to any destination country where:

       (1)     An Applicant is a foreign carrier in that country; or
       (2)     An Applicant controls a foreign carrier in that country; or
       (3)     Any entity that owns more than 25 percent of Applicants or that controls
               Applicants controls a foreign carrier in that country; or
       (4)     Two or more foreign carriers (or parties that control foreign carriers) own,
               in the aggregate more than 25 percent of Applicants, and are parties to, or
               beneficiaries of, a contractual relation affecting the provision or marketing
               of international basic telecommunications services in the United States.

63.18(k)       Not Applicable.

63.18(1)       Not Applicable.

63.18(m)       Not Applicable.

63.18(n)       Applicants certify that they have not agreed to accept special concessions
               directly or indirectly from any foreign carrier with respect to any U.S.
               international route where the foreign carrier possesses market power on the
               foreign end of the route and will not enter into such agreements in the future.

63.18(0)       Applicants certify that they are not subject to denial of federal benefits
               pursuant to Section 5301 of the Anti—Drug Abuse Act of 1998. See 21
               U.S.C. § 853a. See also 47 C.F.R. § § 1.2001—1.2003.

63.18(p)       Answer to Question 20

Applicants respectfully submit that this Application is eligible for streamlined processing
pursuant to Section 63.12(a)—(b) of the Commission‘s Rules, 47 C.F.R. § 63.12(a)—(b). In
particular, Section 63.12(c)(1) is inapplicable because none of the Applicants is a foreign
carrier, or is affiliated with any foreign carrier, and Section 63.12(c)(2) is inapplicable
because neither of the Applicants is affiliated with a dominant U.S. carrier whose
international switched or private line services that Applicant seeks authority to resell.


   VI.      Information Required by Section 63.04

         In lieu of an attachment, pursuant to Section 63.04(b) of the Commission‘s Rules, 47

C.F.R. § 63.04(b), Applicants submit the following information in support of their request for the

transfer of domestic Section 214 authority in order to address the requirements set forth in

Commission Rule 63.04(a)(6)—(12), 47 C.F.R. § 63.04(a)(6)—(12):

63.04(a)(6)    A description of the Proposed Transaction is set forth in Section III above.

63.04(a)(7)    inContact provides an integrated software and cloud—based call center solution in
               all 50 states, the District of Columbia, and Puerto Rico. The Company‘s primary
               business is its call center offering, which includes telecommunications services and
               Software as a Service components. The Company provides legacy 1+ domestic
               calling in addition to transmission to and from its cloud—based platform in support
                of its call center services. The call center offering enables basic call transmission
                (domestic and international) in conjunction with software services such as call
                queuing, auto attendant, and analytics. All of the services provided by inContact
                are competitive in nature and the Company does not hold a dominant position in
                any market.

                NICE Systems is a global market leader in analytics—based customer service
                applications. NICE Systems does not provide domestic or international
                telecommunications services.

63.04(a)(8)     The Applicants respectfully request streamlined treatment of this Application
                pursuant to Section 63.03 of the Commission‘s Rules, 47 C.F.R. § 63.03. This
                Application   is   eligible   for streamlined   processing pursuant to        Section
                63.03(b)(1)(ii) because NICE Systems is not a telecommunications provider, as
                well as Section 63.03(b)(2)(i) because, immediately following the transactions, (1)
                Applicants will hold less than a ten percent (10%) share of the interstate,
                interexchange market; (2) neither Applicant provides local exchange services; and
                (3) none of the Applicants are dominant with respect to any service.

63.04(a)(9)     By this Application, Applicants seek authority with respect to both international
                and domestic Section 214 authorizations (this Application is being separately and
                concurrently filed with respect to both types of authorities in compliance with
                Commission Rule 63.04(b), 47 C.F.R. § 63.04(b)).

63.04(a)(10)    Prompt completion of the proposed Transaction is critical to ensure that Applicants
                can obtain the benefits described in the forgoing Application.         Accordingly,
                Applicants respectfully request that the Commission approve this Application
                expeditiously in order to allow Applicants to consummate the proposed Transaction
                as soon as possible.


63.04(a)(11)   Not applicable.

63.04(a)(12)   A statement showing how grant of the Application will serve the public interest,
               convenience, and necessity is provided in Section IV above.

   VII.    Conclusion

       For the reasons stated above, Applicants respectfully submit that the public interest,

convenience and necessity would be furthered by a grant ofthis Application. Applicants therefore

respectfully request that the Commission consider and approve this Application expeditiously to

permit Applicants to consummate the proposed transaction as soon as possible.




                                               10


                           R@mfully submitted,




                           Rule
                           Allison D.
                           Jaqueline R. Hankins
                           Joanna G. Wallace
                           Marashlian & Donahue, LLC
                           1420 Spring Hill Road, Suite 401
                           McLean, Virginia 22102
                           Telephone: (703) 714—1312
                           Facsimile: (703) 714—1330
                           E—Mail: adr@commlawgroup.com

                           Counselfor inContact, Inc.

                           John Beahn
                           Joshua Gruenspecht
                           Skadden, Arps, Slate, Meagher & Flom LLP
                           1440 New York Avenue, NW
                           Washington, DC 20005
                           Telephone: (202) 371—7392
                           Facsimile: (202) 202.661.9192
                           E—Mail: john.beahn@skadden.com
                                    joshua. gruenspecht@skadden.com

                           Counselfor NICE—Systems Ltd.


Filed: May 31, 2016




                      11


EXHIBIT A


I NICE — Legal Entity Structure — Current Status

                    NICE—Systems Limited
                    (Israel)


                                     |   Holding 100% of share capital




                                 y

                    NICE Systems, Inc.
                    (US)
                                 |
                                 |       Holding 100% of share capital


                                 x


                    Victory Merger Sub Inc.
                    (US)


NICE — Legal Entity Structure — Post Merger

                 NICE—Systems Limited
                 (Israel)
                                    |


                                    |   Holding 100% of share capital
                                    |
                                    |
                                    |



                 NICE Systems, Inc.
                 (US)

                                        Holding 100% of share capital


                                |
                                |




                 In Contact, Inc.
                 (US)


                                            Certification




       1. Daniel G. Lloyd hereby certify under penalty of perjury that | am the Corporate

Seeretary and General Counsel of inContact, Inc. ("inContact"); that 1 am authorized to make

this certification on behalf of inContact: that the foregoing filing was prepared under my

direction and supervision; and that the contents with respect to inContact are true and correct to

the best of my knowledge, information. and belief.



       { declare under penalty of perjury that the foregoing is true and correct.


                       ~4th
       Executed this ‘,_A_‘Z{jay of May, 2016.

                                                  Abang
                                                   [d   . e7 inf
                                                 Daniel G. Lloyd
                                                                    /       #




                                                 Corporate Secretary and General Counsel
                                                 inContact. Inc.


                                           Certification

       I, Yechiam Cohen hereby certify undet penalty of perjury that I aim the Corporate Vice

President, General Counsel and Corporate Secretary of NICE Systems Ltd. ("NICE Systems");

that I am authorized to make this certification on behalf of NICE Systems; that the foregoing

filing was prepared under my direction and supervision; and that the contents with respect to

NICE Systems are true and correct to the best of my knowledge, information, and belief.



       1 declare under penalty of perjury that the foregoing is true and correct.


       Executed thi&fl day of May, 2016.

                                                   7           CZ.
                                              Yechiam Cohen
                                              Corporate Vice President, General Counsel and
                                              Corporate Secretary

                                              NICE Systems Ltd.



Document Created: 2016-05-31 14:37:52
Document Modified: 2016-05-31 14:37:52

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