The privately-held firm is positioned as a competitor to Vonage and Skype. In May, 2008, Telephony published an update on the company, and The Wall Street Journal columnist Herb Greenberg has traced the firm's sometimes controversial principal.
The respective companies websites attribute the invention of magicJack to and the founding of YMAX by Dan Borislow, who has numerous patent claims pending on voice-over-IP (VoIP)-related technology.
The magicJack device works exclusively with the company's captive landline supplier and CLEC (Competitive Local Exchange Carrier), YMAX.
The device has come under criticism for bundled advertisements (sometimes referred to as AdWare or SpyWare) and its EULA which forces the user to resolve all legal issues with the company through arbitration in Palm Beach, Florida. The Better Business Bureau of Southeast Florida gives the non-member firm magic Jack, LP an "F" or failing grade.
Laptop Magazine's website addresses the firm's response to customer service complaints.
In January 2008, PC Magazine reviewed magicJack and named it as an Editors' Choice.. magicJack is heavily promoted via television infomercials.
In April, 2008, BoingBoing published a highly critical review of the device and of magicJack's policies regarding AdWare and SpyWare installed as part of the application . In May, 2008, Telephony published an interview and update on the company. In July, 2008, Laptop Magazine described Borislow's response to apparent customer service complaints.