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Filed under: Business, Developer, Finance, Microsoft

Software Patents - good or evil?

PatentsThe New York Times published an opinion piece by Timothy B. Lee yesterday that compares the current patent conflict between Vonage and Verizon to the software patent landscape of the early 1990's. Back then, Microsoft chairman Bill Gates published a memo to Microsoft's senior management extolling the evils of software patents, claiming that they could lead to a complete stall in technological advancement.

Of course, today Microsoft owns a massive number of patents, and actively uses them to protect their position in the market. And the Vonage / Verizon patent dispute is a shining example of how patents can be used to attempt to kill technological advancement.

So, here's your chance to sound off and spout your opinion. We want to know if the ability to acquire a patent for a software process is good, or evil. For the purposes of this discussion, "good" is defined as supporting technological advancement, whereas "evil" refers to technological stagnation. As much as the example given here clearly shows a bias, there are probably good arguments from both sides of this debate; let's hear them.

Filed under: Audio, Internet, VoIP

Vonage might survive after all: finds patent workarounds

Vonage VoIP phonesLast month Vonage officials said they weren't sure they could find a way to continue offering VoIP telephone service without using technology that a jury said infringed on patents held by Verizon. But it seems like things are looking up for the troubled company.

During a quarterly earnings call, Vonage CEO Jeffrey Citron said the company would be ready to roll out a workaround for two of the patents its said to be violating soon. They're still working on a way to get around a third patent which applies to wireless transmission of phone calls.

There's no word on exactly what these workarounds will entail. Vonage is seeking an appeal in its case against Verizon, but a federal judge had already ordered the company to stop signing up new customers. That order has been stayed, but it seems like a generally good idea for Vonage to explore alternative technologies whether they're successful on appeal or not.

Filed under: Internet, News, VoIP

Court rejects Vonage's request for retrial

VonageWell, you got to hand it to them for trying. On Wednesday Vonage requested a new trial in their patent infringement case. Verizon claims that Vonage's internet telephony technology is based on patents held by the phone company. But Thursday, the appeals court denied the request for a retrial.

Vonage had hoped that a recent Supreme Court ruling would give reason for a new trial. The Supreme Court basically said too many patents have been given out for obvious technologies. The appeals court said Vonage can cite that ruling in its appeal, but that there weren't sufficient grounds for trying the case over again.

If you're getting whiplash from the back and forth, here's the score: Vonage can still continue business as usual while the appeal is pending. If it loses the appeal, there's a good chance the company will be put out of business.

Filed under: Internet, VoIP

Vonage V. Verizon update: Vonage gets to add new subscribers

Vonage It looks like a federal appeals court has issued a permanent stay on a lower court ruling banning Vonage from signing up new customers.

Earlier this year a jury found that Vonage's internet telephony service violates patents held by Verizon, kicking off a whole slew of legal troubles for Vonage.

Today's ruling came just two hours after the appeals court heard arguments from the two sides.

The stay only applies while Vonage is appealing the initial ruling. If Vonage loses the appeal, the company could be finished. That said, Vonage stock jumped closed to 50% today on the first good news the company's had in months.

Filed under: Internet, VoIP

Vonage sees no workaround to Verizon's VoIP patent

VonageRemember how Vonage said it would try to find a way to continue providing internet telephone service to customers without violating Verizon's patent? Yeah, that might not work.

Last month, a federal jury found that Vonage's VoIP technology violated patents held by Verizon. A judge ordered Vonage to stop signing up new customers, but that order was stayed pending appeal.

Now it looks like all of Vonage's eggs are in that appeals basket. Because the company says Verizon's patent is so broad that it might not be possible to pass phone calls between the internet and telephone lines without violating (or licensing) Verizon's intellectual property.

On Friday, Vonage filed documents that suggest it would take months to set up a technical workaround -- if one could even be found. The company predicts (probably correctly) that its current customers would not stick around waiting for such a workaround to be found.

[via Techdirt]

Filed under: Business, News, VoIP

Judge bans Vonage from adding new customers

Vonage v. verizonU.S. District Judge Claude Hilton has ordered internet telephony provider Vonage to stop signing up new customers as long as it continues to use technology which infringes on patents held by Verizon.

Last month a federal jury found that Vonage was violating Verizon's patents. Judge Hilton says his order will minimize harm to both companies, but a lawyer for Vonage say the company plans to appeal.

Vonage has about 2.2 million subscribers right now, but has a turnover rate of about 2.5% each month. If the company cannot add new subscribers, it could lose quite a bit of money. Current customers should not experience any service interruptions.

Update: Vonage has asked the U.S. Court of Appeals in Washington D.C. for a permanent stay on the ruling banning the company from signing up new customers. And while that case is pending, the court has temporarily stayed the order.

[via Techdirt]

Filed under: Business, News, VoIP

Vonage told to stop using Verizon patents

VonageA federal judge has given internet telephony company Vonage two weeks to stop using technologies that infringe on voice over IP patents held by Verizon.

Earlier this month, a jury found that Vonage had violated Verizon's patents. Vonage lawyers tried to argue that any harm to Verizon was outweighed by the public good of providing competition in the telephone industry. An appeal is likely.

In the meantime, Vonage says customers should not expect interruptions in service. It's not clear if that means the company expects the two week stay to be extended pending appeal, or if Vonage is readying new technologies that don't violate Verizon's patents.

[via GigaOM]

Filed under: Business, Developer, Google

Google testing Sun Solaris

google testing sun solarisSun's CIO dropped the news today that Google is using open source implementations of Solaris. Google is currently running Solaris in its data centers, but is looking forward to installing more Sun servers because of the open source Solaris. Given that they have hired on a list of previous Sun employees, it only looks promising for Google to test its own modified versions of Open Solaris.

eBay, Yahoo, Vonage, Disney, and Reuters are also on the list of companies that have adopted the Sun Solaris platform.

Filed under: Utilities, Hardware, News, VoIP

Vonage announces the v-phone

V-PhoneVonage now has available a USB drive with 250MB of memory for Vonage users. This is no ordinary USB drive though, it is the V-phone, all you need to access Vonage, anywhere that has Internet access. The Vonage Talk software is pre-installed, and this eliminates the need for any software to be installed on the host PC, so you can take it anywhere. Your headphone and microphone cord plugs right into the dongle and it costs only $39.99 on the Vonage site. All your Vonage features go with you everywhere your V-phone does. Now anyone who travels will not have to drag anymore equipment with them than the dongle.

Filed under: Windows, Macintosh, Linux, Windows Mobile, Symbian, Palm, Web services, VoIP

More VoIP vendors battling for greater market share

More choice in VoIPA new research study indicates that more vendors are getting into the VoIP game, which means greater choice for consumers.

Telephia reports that with 700,00 more people switching to VoIP to either complement or replace their traditional landline phone service in the second quarter of this year over the first quarter, trends indicate that more vendors will be sprouting up to offer services to consumers in the ensuing months.

Not surprisingly, Vonage has the biggest slice of the pie with 53.9 percent of the pure-play market share, but there are others who are jostling to get noticed. Verizon's Voicewing and AT&T's Callvantage each have about 5.5 percent market share, and fledgling providers such as SunRocket and Lingo are beginning to get some attention.

It goes without saying that with Vonage's marketing superiority, they will dominate the VoIP sweepstakes for the immediate future. However, as VoIP becomes more ubiquitous, that will mean more competition, and that will only benefit consumers in the end.

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