Vonage will continue to operate as usual during patent dispute

PhoneDog LLC
Posted on Monday, April 09, 2007
by PhoneDog LLC,
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HOLMDEL, N.J., April 9, 2007 /PRNewswire-FirstCall via COMTEX News Network/ -- Vonage Holdings Corp. (NYSE: VG), a leading provider of broadband telephone service, today stated that it views the Court of Appeals' granting of a temporary stay on Friday allowing Vonage to continue to add customers as the first step toward resolving this matter in Vonage's favor. The stay will remain effective while the Appellate Court considers making the stay permanent.

Vonage will continue to provide digital telephone service to existing customers indefinitely by paying into escrow a quarterly royalty of 5.5% throughout the appeals process. Separately, the District Court required Vonage to post a bond of $66 million to secure Verizon's damages judgment.

Vonage is pleased that existing customers will not experience any interruption in service. The Company continues to believe it will succeed on appeal and continues to work on designing around the Verizon patents.

Vonage also continues to believe that this case is an attempt to do in the court room what Verizon could not succeed in doing in the marketplace -- which is to put Vonage out of business.

Vonage announced it will hold an investor update conference call on Thursday, April 12, 2007 at 8:00 AM ET. To participate, please dial (800) 289-0533 approximately ten minutes prior to the call. International callers should dial (913) 981-5525. The call will be simultaneously webcast and accessible via Vonage's Investor Relations website at, ir.vonage.com.  A replay of the call will be available on Vonage's Investor Relations website shortly following the webcast for two weeks.

Vonage (NYSE: VG) is a leading provider of broadband telephone services with over 2.2 million subscriber lines. Our award-winning technology enables anyone to make and receive phone calls with a touch tone telephone almost anywhere a broadband Internet connection is available. We offer feature-rich and cost-effective communication services that offer users an experience similar to traditional telephone services.

Our Residential Premium Unlimited and Small Business Unlimited calling plans offer consumers unlimited local and long distance calling, and popular features like call waiting, call forwarding and voicemail -- for one low, flat monthly rate. Vonage's service is sold on the web and through national retailers including Best Buy, Circuit City, Wal-Mart Stores Inc. and Target and is available to customers in the U.S., Canada and the United Kingdom. For more information about Vonage's products and services, please visit, vonage.com.

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