Vonage said in a regulatory filing. Vonages stock, which was down 13 cents to $1.54 in 4 pm. New York stock Exchange composite trading, was down another 24 cents to $1.30 in afterhours trading. Vonage went public in May of last year at $17.One of the early players offering internet telephone service, Holmdel, N.J., vonage has been reeling in the past year as it has lost two high-profile patent lawsuits. All the major phone companies have patents they claim cover aspects of voice-over-internet-phone technology” (at&T Files patent Lawsuit Against Vonage).
AT&T has been trying to arrange a settlement with Vonage for the past two years, which shows they want to do the right ethical process without going to court, however they were unable to negotiate a “reasonable licensing arrangement” with the company. It is my opinion that Vonage is being untruthful in their below statement because if they truly wanted to come to an agreement, they would have done it sooner and not be forced in court.
In statement, Vonage said the company had hoped to keep negotiating. “Its our preference to settle disputes through negotiation rather than litigation,” said Vonage chief legal officer sharon Oleary in a statement. ” we will continue to work toward an amicable solution.” Vonage said in the statement that its primary focus was to improve the quality of service to customers and maximize value for shareholders” (at&T Files patent Lawsuit Against Vonage).
Due to this issue with Vonage, it has led to many downfalls for the company since investors hate not knowing what is going to happen. Vonage stock- is already sliding back down after the initial euphoria that followed the settlement with Sprint earlier this year. Recently, Vonage stock ended at $1.28 a share, down 26 cents from the closing price of $1.54 (at&T filed a patent infringement lawsuit against Vonage)..