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story category Vonage Strikes Workaround
For two of the three infringing Verizon patents
(old news - 08:55AM Tuesday Apr 03 2007)
tags: legal · business · VoIP
Tipped by newview See Profile
"Vonage has signed an agreement with a VoIP network services provider to carry calls placed by Vonage customers, giving the troubled VoIP provider an out on two of the three Verizon patents it was found to have infringed," notes Ars Technica, who cites their Form 8-K filing with the SEC. In a separate report, Vonage says they've delayed their annual report, citing the Verizon patent battle. The company recently proclaimed that the market overreacted to their loss, which requires they pay Verizon $58 million in damages and a 5.5% royalty rate on each Vonage customer.

Related:
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  5. Comcast Denies Unfair VoIP Discrimination
  6. Verizon Can't Use Number Ports To Win Back Landline Customers
  7. Wednesday Evening Links
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Forums » Vonage Strikes Workaround
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ptrowski
Got Helix?
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join:2005-03-14
Putnam, CT
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Good....

Now let's get the last problem solved and give a mighty middle finger to Verizon...
AJICQ499087

join:2001-12-01
Louisville, KY

Re: Good....

$58 million in damages, and a 5.5% royalty rate on each Vonage customer...where is Vonage going to get the $
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Camelot One
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join:2001-11-21
Sarasota, FL
clubs:
·VoicePulse

Re: Good....

said by AJICQ499087 See Profile :

$58 million in damages, and a 5.5% royalty rate on each Vonage customer...where is Vonage going to get the $
$58 million, thats what, their weekly advertising budget? I hate Verizon, but I'm so sick of that "Woohoohoo" song, I could use a week without it.
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DaBavarian
Premium
join:2006-02-22
Saginaw, MI
·AT&T DSL Service

Yeah, this company, Vonage, never posts a profit...(however the execs on their board seem to be doing fine)... and Vonage has little in regards to assets not even having their own network that they operate on. How can you keep paying for legal fees, a huge advertising budget, and regular business expenses and NEVER make a profit but STILL keep your doors open???

Only in America. I love it.

cdru
Go Colts
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join:2003-05-14
Fort Wayne, IN
·Verizon FIOS

said by AJICQ499087 See Profile :

$58 million in damages, and a 5.5% royalty rate on each Vonage customer...where is Vonage going to get the $
What royalty rate? The $58 was for past infringement. The 5.5% was for future royalty payments if Vonage continued use. The deal with VoIP Inc would negate 2/3 of the reason for that 5.5% of royalty in the event appeals did not reverse the original jury verdict.
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LiamJunket
Premium
join:2002-03-03
Ocean City, NJ
·Comcast

said by ptrowski See Profile :

Now let's get the last problem solved and give a mighty middle finger to Verizon...
Even if Vonage finds a way around the last patent, they still come out losers. Their deal to use another VOIP provider will cost them a lot of money. Their customers are going to be paying more for service no matter what happens in the future hearings. I'd say Verizon has already won, no matter what happens from now on.
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dodgetech2

join:2002-01-01
Gouldsboro, PA
·ProLog
·Vonage

Re: Good....

said by LiamJunket See Profile :

said by ptrowski See Profile :

Now let's get the last problem solved and give a mighty middle finger to Verizon...
Even if Vonage finds a way around the last patent, they still come out losers. Their deal to use another VOIP provider will cost them a lot of money. Their customers are going to be paying more for service no matter what happens in the future hearings. I'd say Verizon has already won, no matter what happens from now on.
I don't think they have won at all..All they have succeeded in doing is insuring if Vonage were to go away, those current Vonage customers will never go back to Verizon, just as a mater of principle........I see it as a lose lose for Verizon......
Also, I have it on pretty good authority, that Vonage will be making an announcement on Friday...
Rest assured Vonage customers...we are going to be fine.

On top of that, even if the Vonage bill were to go up $5.00 a month..Its still WAY cheaper than Verizon...
qworster

join:2001-11-25
Los Angeles, CA

Prior art?

Verizon filed for these patents in 1997. Jeff Pulver was doing VOIP LONG before that, and he was one of the founders of Vonage. Seems to me that prior art might apply here.

MxxCon

join:1999-11-19
Brooklyn, NY
clubs:

is it really good on 2 patents?

"Vonage has signed an agreement with a VoIP network services provider to carry calls placed by Vonage customers"
so wouldn't verizon now go after that other voip provider?
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aztecnology
O Rly?
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join:2003-02-12
Murrieta, CA

Re: is it really good on 2 patents?

said by MxxCon See Profile :

"Vonage has signed an agreement with a VoIP network services provider to carry calls placed by Vonage customers"
so wouldn't verizon now go after that other voip provider?
Not if they are not violating patents...
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Loker
Premium
join:2004-07-11
Fargo, ND
clubs:

Re: is it really good on 2 patents?

said by aztecnology See Profile :

said by MxxCon See Profile :

"Vonage has signed an agreement with a VoIP network services provider to carry calls placed by Vonage customers"
so wouldn't verizon now go after that other voip provider?
Not if they are not violating patents...
LOL like that matters...
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sporkme
drop the crantini and move it, sister
Premium,MVM
join:2000-07-01
Morristown, NJ
·Optimum Online

said by aztecnology See Profile :

said by MxxCon See Profile :

"Vonage has signed an agreement with a VoIP network services provider to carry calls placed by Vonage customers"
so wouldn't verizon now go after that other voip provider?
Not if they are not violating patents...
Everyone doing voip is violating these patents. The case with verizon did not address whether or not the patents were valid,

Now verizon needs to sue someone bigger so that the whole mess can be overturned.

mindfrost82

join:2003-04-19
Cortland, IL

Royalty rate only if they continue using the technology?

Isn't the 5.5% royalty rate only if they continued to use their same technology? If they switch their technology then they won't have to pay the royalty rate right?
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brooklynman4

join:2004-09-07
Brooklyn, NY

Re: Royalty rate only if they continue using the technology?

I picture vonage buying that company out in the future.
AJICQ499087

join:2001-12-01
Louisville, KY

Re: Royalty rate only if they continue using the technology?

I picture Vonage going out of business within 2 years as they run out of money and get wiped out by new competition such as magicJack. »www.magicjack.com/
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low cost and fast speed is what customers want in broadband

Yippz

join:2005-05-04
Atlanta, GA

Re: Royalty rate only if they continue using the technology?

said by AJICQ499087 See Profile :

I picture Vonage going out of business within 2 years as they run out of money and get wiped out by new competition such as magicJack. »www.magicjack.com/
Uh huh... A unit that needs a computer to function will "wipe out" a technology that needs NO computer to operate whatsoever.

Yeah. Not quite...

dodgetech2

join:2002-01-01
Gouldsboro, PA
·ProLog
·Vonage


1 edit
said by AJICQ499087 See Profile :

I picture Vonage going out of business within 2 years as they run out of money and get wiped out by new competition such as magicJack. »www.magicjack.com/
Yeah..Ok......Ill stick with my Vonage thats been working fine for 2.5 years over something that quite possibly will NEVER even become available.....

or wont work without a PC.....Vaporware anyone?

The only thing we know about "majicjack" is he can build a website......My 13 Year old daughter can do that.

ppp

@faa.gov

Who's the new provider...

Sunrocket ??? !

lol

AnonProxy
Proxy of Anon
Premium
join:2001-05-12
ß

Well hopefully this works

Because if not, they would prolly leave a lot of customers high and dry.

JammerMan79
Premium,VIP
join:2004-05-13
Prince George, BC

Which 2 of 3?

which 2 of 3 patents do they have a workaround for?
Forums » Vonage Strikes Workaround


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