Fonality, a leading provider of open source telephony and communications systems for growing businesses, has secured a $12 million financing round led by Draper Fisher Jurvetson Growth Fund with participation from existing investor Intel Capital. Randy Glein, managing director of DFJ Growth Fund, has joined Fonality’s board of directors.

Fonality, which has driven 16 successive quarters of record growth, makes open source Internet-based telephony and unified communications solutions that enable market-leading capabilities for growing enterprises, including globally-distributed operations, home-based workers and highly mobile workforces.

The company will use this additional capital to continue expanding its share of the $7B domestic telephony market and take a position in the $25B global telephony market, with a special focus on affordability and mobility for businesses with 5 - 500 people per location.

Fonality’s open source technology ties together all forms of business communication — instant message, landline calling, mobile calling, chat, voicemail, customer relationship management (CRM), e-mail and more — into one unified desktop software application. The company’s phone systems are sold direct to businesses at fonality.com, through a global network of resellers, and by Dell.

“Fonality’s model has always been to free people from the prison of their cubicles, and to do so affordably,” said Fonality CEO Chris Lyman. “But, with the rising price of gas and the increased adoption of high quality broadband, our vision of ‘your office is the world’ is nearly upon us. This investment by DFJ and Intel Capital, two top-tier investment firms, gives us the freedom to further accelerate our growth and acquisition strategy.”

The company’s focus on building affordable, easy-to-use, and full-featured products enables it to compete directly with Cisco, Microsoft, Nortel and Avaya. More than 7,000 computer consultants, vendors and resellers augment Fonality’s direct sales organization. Earlier this year, the company launched a relationship with Dell to sell Fonality products online at Dell.com and via Dell telephone sales.