Feeds

Vonage: patent smackdown won't bring shutters down

We will survive

3 Big data security analytics techniques

Vonage today moved to reassure its two million customers that their internet phone service will not be disrupted and investors that their cash will be safe if it loses a patent lawsuit to Verizon.

A US District Court in Eastern Virginia last week heard Verizon claim that Vonage owes it at least $197m in licensing fees and damages for patents related to billing, fraud detection, call forwarding for VoIP (Voice over Internet Protocol), and other technologies.

According to Verizon, Vonage has used its intellectual property to steal its customers. Vonage says the suit is frivolous, and an attempt to stifle competition from new entrants.

Today's statement from Vonage aims to calm fears that a loss might imperil the firm's finances. "First and foremost," chief executive Mark Snyder said, "we are confident we have not infringed on any of Verizon's patents and, in any case, we believe the Verizon patents are invalid.

"Our financial reserves would allow us to continue normal operations regardless of the outcome. In addition, we are confident that regardless of how this litigation is ultimately decided, Vonage's customers will see no change whatsoever to any aspect of their phone service."

He said Vonage's coffers stood at $499.7m in cash and equivalents at the end of last year. Losses for the independent telco were slowing at the last count, clocking in at $234m in 2006.

Verizon filed the suit in June last year, soon after Vonage had floated on Wall Street. Its price has fallen by more than half since the initial offering.

The trial began last week, and the eight-man jury is expected to deliver a verdict next week. ®

SANS - Survey on application security programs

More from The Register

next story
Virgin Media so, so SORRY for turning spam fire-hose on its punters
Hundreds of emails flood inboxes thanks to gaffe
A black box for your SUITCASE: Now your lost luggage can phone home – quite literally
Breakfast in London, lunch in NYC, and your clothes in Peru
AT&T dangles gigabit broadband plans over 100 US cities
So soon after a mulled Google Fiber expansion, fancy that
AT&T threatens to pull out of FCC wireless auctions over purchase limits
Company wants ability to buy more spectrum space in auction
EE & Vodafone will let you BONK on the TUBE – with Boris' blessing
Transport for London: You can pay, but don't touch
NBN Co plans fibre-to-the-basement blitz to beat cherry-pickers
Heading off at the pass operation given same priority as blackspot fixing
NBN Co in 'broadband kit we tested worked' STUNNER
Announcement of VDSL trial is not proof of concept for fibre-to-the-node
Google eyes business service in latest Fiber trials
Lucky Kansas City buggers to host yet another pilot program
Huawei exec: 'Word of mouth' will beat Apple and Samsung in Europe
World Mobile Telephone Factory No.3 won't fling the big bucks around just yet
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.