This Friday a Federal judge will issue an injunction that threatens to shut down Vonage. But as a post on Law Practice Management indicates, according to a filing with the Securities and Exchange Commission the company has signed a deal with a wholesaler of voice over Internet Protocol services called Voiceone, provided by VoIP Inc. This deal could provide Vonage with a work-around for at least two of the three patents owned by Verizon Communications.
But according to an article in C-Net News, that isn’t the end to problems for Vonage. Clayton Moran, a stock analyst with the Stanford Group, is quoted as saying, “Vonage is in crisis mode, the uncertainty is impacting operations. We expect many existing customers to cancel service. And it will also make it more difficult for Vonage to attract new customers.”
The article points out further challenges in the form of competition from cable operators that are bundling voice services similar in price and function to those offered by Vonage, as well as offerings from Internet companies like Skype, Google and Yahoo. Plus, Vonage also faces another law suit by Sprint for patent infringement.
