Vonage Hit With Another Patent Infringement Lawsuit, This Time From AT&T

Paul Glazowski,


vonageIt’s the Neverending Story. Part Deux. Literally.

As we all well know, it’s never honorable to kick a horse (or, in this case, a feeble, stunted pony) while it’s down, but like a wreck on the side of the road, we can’t help but look on, even when we know the fight’s not being had between two equals. So it’s with such conflicting feelings that we bring you word that the American VoIP company, Vonage, was hit last week with yet another lawsuit, this time by the folks at AT&T. Or “Ma Bell: The Resurrection,” as she likely prefers.

One can’t help but feel for Vonage at a moment such as this. But even more so, we feel it imperative, for the sake of all watching the charred-wreckage-formerly-known-as-a-company, that it carry its battered and beaten behind out of the public eye as soon as possible – ‘cause it just hurts too much to watch it stumble any further through this nightmare novella that the courts and it’s corporate opponents have written thus far.

First came Verizon, claiming patent infringement and ultimately ordered to be compensated $66 million. That series of proceedings alone left Vonage bruised all over. Then Sprint took the company to court, and achieved a settlement of $80 million. And now a spat with AT&T has been brought to public view, which, according to a Wall Street Journal report, has been something that’s occupied the legal teams of both parties for two years already.

Because neither would accept the other’s offering of any number of deals, AT&T’s decided to file a lawsuit.

And, yes, this one’s about patent infringement, too. And, yes, the patent in question is broad-reaching (the patent is said to let users access an Internet phone system using a standard phone device). And yes, Vonage will likely lose.

Well, at least I presume so. If one is able to learn anything from Vonage’s past legal proceedings when dealing with forces more grand than itself, it is that patent holders seem to have an upper hand in the eyes of a judge or jury, regardless of said patent’s logical validity in this day and age.

So, expect Vonage to get taken for yet more cash in the weeks (or months) to come. Which will help it fall ever closer to junk status. (It’s at $1.28 as of 10 AM EST on Monday Oct 22nd)

If VG manages to emerge from the courts without having to pay AT&T a cent in damages, perhaps it’ll stick around for a good while longer. But certainly not forever. Unless it really is the new Neverending Story. In which case, well, who knows what the hell is going happen.


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