VoIP services provider VoIP Inc. said today it has completed the acquisition of the VoIP business and assets of WQN Inc., an Internet telephony company.

The acquired assets and business will operate as a wholly owned subsidiary of VoIP Inc.

“We’re happy to complete this important acquisition, which substantially enhances our international VoIP business, and provides us with an additional 60,000 retail customers using various VoIP services that will be integrated onto our VoiceOne network, says Steven Ivester, VoIP Inc.s CEO. The average margin today on the $30 million in revenue from WQN is 3 percent, mainly because of outsourced network cost and the lack of network ownership. We will move the traffic to our Voice One proprietary technology network and the move to our network should increase margins to as much as 17 percent.

WQN’s enhanced services applications will be sold under VoIP Inc.s VoiceOne Virtual Service Provider offering, a private-label, hosted VoIP solution.