Tycoons Row

When Vonage first came out I knew this service was going to be huge. I definitely understood the technology behind the service, as this unique technology was & still is the wave of the future. Vonage converts voice calls into data packets and sends them over an IP data network. This is what’s called Voice Over Internet Protocol (VOIP).

I never bought the service myself, however, I have been a 2nd party user of it sort-to-speak. A friend of mine, used the service and I had the pleasure of speaking with him through Vonage. Not only he had the service to use from his personal phone, but also through his computer. Additionally, he was able to call from London utilizing a U.S. based number, saving the burden & any other receiving cost burdens on me.

Now that Vonage has become a powerhouse in the area of VOIP & is evidently successful, those that were slow to the market want to burn Vonage to the ground. Today, the verdict was made that Verizon will be receiving 5.5% royalties on their technology which is used by Vonage. Verizon won on 3 patents which included the “methods” on commercializing and offering VOIP. Verizon also claimed that Vonage infringed on the following patents:

1. VOIP Billing
2. Fraud Detection
3. Call Waiting
4. Voice Mail
5. VOIP Gateways
6. Circuit-Switched Networks
7. Methods of using Wi-fi handsets for VOIP

Today, the verdict was made that Verizon will be receiving 5.5% royalties on their technology which is used by Vonage. Gateways over VOIP & Switching Networks. Perfect timing for Verizon to come in when the company has grown at a phenomenal rate.

As of December 2006, the company currently has over 2.2 million subscribers. I think the vision of Vonage is that, if there is an broadband Internet connection around, Vonage is there. The company is seen as the cost effective telecommunications service. If you have a touch tone phone, you can receive & make phone calls literally anywhere in the world.

The company started in 2001 and has had a fast growth strategy. You can find products & services in major retail chains now, such as Besty Buy, Wal-Mart, Target, & Circuit City. Personally, I would love to use the service. However, I find another subscription phone plan doesn’t meet my needs, additionally, although Vonage offers you to use your phone or PC wherever there is a broadband connection to make calls, I don’t want to “just” make calls, I want to be on the net & make calls at the same time. I don’t think this is an offer that Vonage allows.