Printed from http://www.electronista.com

Vonage, AT&T working on legal settlement

updated 01:05 pm EST, Thu November 8, 2007

Vonage, AT&T negotiate

AT&T has agreed to settlement talks in its lawsuit against VoIP carrier Vonage, according to the Associated Press. AT&T had made the accusation that Vonage violated a patent for connecting traditional phones to Internet services; the companies had actually attempted to negotiate a license for the patent for two years, but the issue was never resolved. Under a proposed deal, Vonage would compensate AT&T with $39 million over the course of five years. Word of new talks caused Vonage stock to rise 23 percent (to $2.70) in premarket trading.

Although the payout would be another hardship for Vonage, which as been rumored to be near bankruptcy in recent times, it would represent the smallest settlement the company has so far had to make in similar legal woes. In October the company settled with Sprint for $80 million, and Verizon for $80 to $120 million, details of the latter arrangement depending on a future court hearing.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

D-Link Wi-Fi Smart Plug

Home automation fans have been getting their fair share of gadgets and accessories in the last few years. Starting with light bulbs, a ...

Razer Kraken Pro headset

Gaming headphones are a challenge to get right, for a long list of reasons that are unique to the consumer buying them. Some shoppers ...

Patriot Aero Wireless Mobile Drive

Regardless of how large a tablet you buy, you always want more space. There's always one more movie or another album you'd cram on, if ...

Sponsor

toggle

Most Commented

 
toggle

Popular News