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Patent issues again. Vonage is really in the red. I don't know how they can survive with this.
Patent issues again. Vonage is really in the red. I don't know how they can survive with this.
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The threat of an injunction and a long legal battle could adversely impact the company's sales, as new customers may be reluctant to sign up for a service that could be shut down. That's what happened to Research in Motion, the maker of the Blackberry email devices and service. In 2002, a jury found that RIM had infringed on patents held by the patent holding company NTP. A judge then imposed an injunction, which was stayed pending RIM's appeals. The situation came to a head some three and a half years later when the judge in the case was about to impose the injunction. In the eleventh hour, RIM and NTP settled the case. But the ongoing threat of a shutdown spooked potential customers, causing RIM's sales to dip during the quarter preceding the settlement, RIM said after the case was settled.