Vonage Holdings Corp. (VG)

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The Company is a provider of broadband Voice over Internet Protocol services to residential and small and home office customers.

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Avatar GeoWendy (96.95) Submitted: 3/16/08 12:38 PM : Start Price: $1.85 VG Score: 1.31

Vonage is losing out to the other big Telco's coming on the market. Consumers are getting comfortable with the technology so growth is no longer fueled only by early adopters. Bundled packages with Verizon and Comcast are competing with potential new growth. The product hasn't improves substantially since they began providing the service. Early adopters are moving over to Skype, which offers a completely free service for PC only useage.

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Avatar badfish1968 (< 20) Submitted: 5/02/08 10:02 AM

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I think Vonage's success will depend largely on leadership and their strategy--which I freely admit I'm not intimately familiar with. But the Verizon/Comcast argument falls flat when you consider that their offerings are the same low-rate-for-a-year-then-mark-up-ridiculously strategies that are driving their customers away to satellite in droves in the television market. Their pricing models are as convoluted and archiac as phone companies are, and with the economy circling the drain, flat rate, predictable pricing without overages and hidden costs will become more attractive to wallet-pinched consumers. The real Big Picture question for Vonage, in my opinion, is the fate of home phone service as a whole; I'd like to see them working on solutions for call centers, hotels, etc.

As for completely free essential services and their sustainability from a business standpoint I have a one word response for that:

NetZero.

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Avatar TheParadox (98.77) Submitted: 5/16/08 10:50 AM

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very good points.

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Vonage Holdings Corp. (VG)

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