Battle Heated Between Verizon and Vonage
Verizon Communication Inc. is still continuing its patent-infringement suit against Vonage Holding Corp. The suit was filed in June and is now open in the federal court after the two companies have failed to reach a settlement. Verizon is asking for more than $197 million in damages. Vonage denies all charges and says the only reason Verizon is pressing charges is to try stifle the competition. New internet-calling businesses fear if Vonage loses this case it could lead to a series of lawsuits in the telecom industry which could hamper business growth. Vonage on the other hand is confident that it will continue operating whether or not it loses the case.
Sources:
Cauley, L. (2007, February 19). Future of Net phone firm Vonage hangs in balance. Retrieved February 22, 2007 from USA Today, Web site: http://www.usatoday.com/money/industries/technology/2007-02-19-vonage-usat_x.htm
Fam, M. (2007). Verizon suit presses Vonage, Industry: Web-calling start-ups fear case may hamper growth of their services. The Wall Street Journal, CCXLIX(43), B4.