Legal Issues

by Mike Masnick

Verizon Wins Patent Case Against Vonage; Now Pushing To Shut Down Vonage Service

from the hurray-for-innovation dept

Following yesterday's request by Verizon that Vonage pay nearly $200 million for actually innovating while Verizon sat on the sidelines, a jury has sided with Verizon, and told Vonage to pay up. They didn't go all the way, however, finding Vonage only violated some patents, and saying the fine should be $58 million and 5.5% of future service revenue. Verizon, however, has also asked the judge to issue an injunction to shut down Vonage's service. Given the recent MercExchange/eBay Supreme Court decision hopefully the judge will realize that an injunction isn't reasonable here. Vonage, of course, will appeal, so this is anything but over. What will likely happen, though, is that Vonage will just settle the case, because at some point it's just cheaper to settle than to fight. Apparently, that's what you get for innovating as a small company these days.

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    Mike (profile), 8 Mar 2007 @ 3:03pm


    Innovative marketing maybe, nothing else.

    And that's not important? What's important is what brings the net benefit to the world, and that takes marketing as well.

    Apple's innovations have mostly been in marketing, not technology -- and yet no one claims they're not innovative. Innovation involves a combination of factors, of which the technology is only one part.

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