Vonage Settles With Verizon For Up To $117.5 Million

Well Vonage, you lost. Huge. The New York Times is reporting that Vonage has settled with Verizon for one of two amounts, depending on whether the courts will rehear the case.

If they do, Vonage will pay $80 million to Verizon. If they don’t, Vonage will pay $117.5 million. They’ve also agreed to pay $2.5 million to charity.

While it sounds like awful news for the VOIP provider, the settlement includes the right to use Verizon’s patents and the stock market is optimistic. Vonage’s shares soared 70% in after-hours trading… to $2.60.

Might as well just pay the $117.5 million. Verizon’s robot super-lawyers can not be defeated, Vonage. Forget about it.


Shares Rise as Vonage Settles Fight Over Patent
[NYT]
(Photo:moviescreenshots.blogspot.com)

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