Jury orders Vonage to pay $58 mln in patent case
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A jury dealt a blow to  loss-making Internet phone provider Vonage Holdings Corp. on  Thursday, ordering the company to pay $58 million plus  royalties on future sales for infringing three patents owned by  Verizon Communications Inc..
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Vonage is set this week to appear in court to face charges that it has infringed upon patents owned by telecommunications giant Verizon.
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Vonage takes another blow when a Virginia jury found the IP telephony provider infringed on three Verizon patents.
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(InfoWorld) - A federal court ruled on Tuesday that struggling VoIP provider Vonage infringed on patents owned by Sprint Nextel. Jurors in the U.S. District Court in Kansas found that Vonage willfully infringed on Sprint's patents as part of its VoIP service, Vonage said. The jury awarded Sprint $69.5 million in damages, which amounts to 5 percent of Vonage's revenue during the infringing period. Vonage plans to initially ask the court to set aside the verdict, but if that fails, the company will appeal the decision. In the meantime, Vonage will also develop workarounds that don't require Sprint's patents, it said. This is the second legal blow to Vonage this year. A court found earlier this year thatÂ Vonage infringed on Verizon patents. That case came with an injunction that would have prevented Vonage from signing up new customers.Â Vonage won a stay of that injunctionÂ and is appealing the original infringement ruling. Although it's clearly bad news for Vonage to have two patent infringement rulings against it this year, the appeals could change everything, said Seth Ostrow, a partner specializing in patents in Dreier LLP. "Often there are mistakes made during various stages of a case that form the basis for a successful appeal, and that, coupled with the statistics, gives reason to think that Vonage has a significant chance of getting this changed," he said. Statistics show that patent cases often get changed on appeal, he said. In August, Vonage said it had nearly completed rolling out workarounds for two of the three patents claimed by Verizon. Still, the Verizon case alone appears to have slowed growth for the company, the largest independent VoIP provider. In its second quarter this year, Vonage added 57,000 customer lines, compared with 256,000 in the same quarter in the previous year. Vonage has said that Verizon pursued the lawsuit in an effort to eliminate a competitor. Vonage stock opened the day at $1.99 and closed at $1.20, a 33 percent drop. This story was updated on September 25, 2007
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Analysis: Verizon's victory in patent-infringement case is the latest challenge for Internet telephony provider Vonage.
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Internet phone service provider Vonage  Holdings Corp.  on Monday said it has been served with a  patent infringement lawsuit filed by two units of Verizon  Communications Inc. .
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Internet telephone company Vonage Holdings Corp. was ordered in federal court Tuesday to pay Sprint Nextel $69.5 million in damages for infringing on six telecommunications patents owned by Sprint Nextel Corp.
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A federal jury on  Wednesday began reviewing evidence in Verizon Communications  Inc's $197 million patent infringement case against Internet  phone service provider Vonage Holdings Corp..
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ALEXANDRIA, Virginia  - A federal jury on Wednesday began reviewing evidence in Verizon Communications Inc's $197 million patent infringement case against Internet phone service provider Vonage Holdings Corp..
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Shares of Vonage, the Internet telephone provider, rose sharply after it announced it had settled a patent dispute with Verizon and would have to pay a maximum of $120 million.
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Battered and bruised from its patent fights with Sprint and Verizon over technologies used in its VoIP service, Vonage disclosed Friday that it has also been sued by AT&T.
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According to Vonage, rumors of its demise due to its ongoing patent litigation with Verizon have been greatly exaggerated. Vonage is accused by Verizon of violating seven even patents covering telephone features and the use of Wi-Fi to place telephone calls.
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Internet-based calling company Vonage Holdings  Corp  said it settled a patent dispute with Nortel.
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The cost of Vonage's VoIP technology development policy - build now, ask questions later - hardened a bit more after the close of stock trading this afternoon. Vonage has agreed to settle with the first of its three aggrieved parties, Verizon, in an unusual deal that hinges upon a forthcoming ruling from an appeals court and a separate injunction ruling from a district court.
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Promises to side-step its way out, again VoIP provider Vonage has lost another patent battle, this time with Sprint Nextel, which owns six infringed patents and stands to gain almost $70m in a court-ordered payout.â¦
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A U.S. federal jury found that Microsoft Corp.  infringed audio patents held by Alcatel-Lucent   and should pay $1.52 billion in damages, the No. 1 software maker said on Thursday.
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ALEXANDRIA, Virginia  - A jury on Thursday ordered Internet phone provider Vonage Holdings Corp. to pay $58 million for infringing on three patents owned by Verizon Communications Inc..