Vonage stock goes under $5 as jury deliberates Verizon patent suit |
Until this morning, and pondered back in January, the lowest Vonage stock (VG) had gone was $5.02.
As a federal jury deliberates on the Verizon patent lawsuit, VG has dipped to a record low of $4.91. You can track VG updates at Google Finance (disclaimer: I own GOOG stock).
One investment advisory firm said the lawsuit is important because it spotlights the extent to which VoIP relies on open standards rather than proprietary technology. “The outcome of the case against Vonage will likely spill over to the larger VoIP sector,” said Stifel Nicolaus & Co in a report.
We still have a Vonage business account with fax service but canceled our second account some time ago in a switch to Skype which to date has been a good move. This weekend we’re going to be testing our new Sprint USB broadband modem with VoIP. If all tests go well, we’ll be dropping the local telco’s overpriced DSL and required phone line at our secondary business location. We’re still keeping the telco at our primary office offline business, a one 12+ year established line.
I like VoIP which has saved our home and business a lot of money over the last few years. Will be curious to see how this lawsuit turns out.
Update 1:55pm PST: Jury rules against Vonage, orders $58 million to Verizon. Stock hit as low as $4.50. Vonage is appealing.
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Whoa! does that mean that all VoIP companies are affected?? If you follow my blog you will see how we are trying to democratize the telecom world. From the comments we are getting, we are in the right direction. what will this mean?
At the Flat Planet Phone Co. we will enable anyone to start his own phone company for only $199! that is our way to fight Verizon, at&t and all the others who are trying to stifle innovation!
Comment by Moshe Maeir — March 8, 2007 @ 4:08 pm PST
Interesting approach, Moshe. I don’t have any interest in “starting my own phone company” but maybe others will.
Comment by TDavid — March 8, 2007 @ 5:22 pm PST
well, others do… technorati.com/search/Maeir%2C+%24199?language=n&authority=n
I like the name of your blog!
Moshe
Comment by Moshe Maeir — March 8, 2007 @ 5:35 pm PST
[…] This comes after the judge had already ruled against Vonage, ordering a $58 million dollar judgement. The Vonage muted response was that it wouldn’t affect normal operations and they were appealing the decision. I’m not sure whether or not next week we’ll be hearing the same thing or if they even can appeal this two week decision. Are they already using different technology that does not violate Verizon’s patents? […]
Pingback by Just when you thought it couldn’t get any worse for Vonage, it does » Make You Go Hmm — March 23, 2007 @ 5:11 pm PST
And let the rumors of Vonages closure begin. I still think Vonage has a name and a huge customer base, they just have to figure out a way out of this hole. Jack in the Box also had financial woes after a lawsuit, but bounced back with a revamped marketing strategy and menu. Vonage can do the same, they just have to play their cards right.
Comment by Vic — March 24, 2007 @ 11:21 am PST
[…] (under $5 a share) Vonage has been a penny stock since March 2007 when a ruling that they violated Verizon patents didn’t go their way. Perhaps the worst part of this Sprint ruling is that jurors determined […]
Pingback by Vonage becomes penny stock following order to pay Sprint $69.5 million » Make You Go Hmm — September 26, 2007 @ 7:40 am PST
I hear Vonage is getting shut down now cause of Verizon. Hopefully more high speed internet providers will offer VOIP bc i think it is successful.
Comment by john — November 13, 2007 @ 12:11 am PST