Vonage to pay $58 million to Verizon over patent dispute

Tom Keating : VoIP & Gadgets Blog
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Vonage to pay $58 million to Verizon over patent dispute

BREAKING! Vonage has been ordered by a Virginia court to pay $58 million to Verizon Communications for infringing on three of the company's patents.  Vonage has vowed to appeal the decision. In addition to monetary compensation, Verizon is also asking the court for an injunction on Vonage's service.

On March 23, U.S. Judge Claude Hilton will hear arguments to decide whether Vonage's service should stop offering phone service until an acceptable licensing agreement between the two parties can be agreed to. Vonage is claiming no interruption of service is expected, and in my opinion this is simply a shakedown by Verizon for money. Also, don't discount the "revenge" factor. Vonage has played a huge role in reducing the costs of residential phone service. Here's Vonage's statement on today's rules.


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