Vonage Reports Second Quarter Loss - Stalled Subscribership

Voice over Internet Protocol phone provider Vonage recently reported a net loss of $34 million, or 22 cents per share, for the April-June period, down from $74 million or $1.16 per share, in the same period last year.

Vonage also reported a loss of subscribers as more people chose phone services with their cable provider. Vonage reported a subscriber base of 2.45 million, an increase of just 57,000 lines from the first quarter. The company is also in litigation for 3 patent infringements with Verizon.

As for the future of VoIP, it remains to be seen. Recently another VOIP provider Sunrocket abruptly cut off all of their customers without warning. With stiff competition in the lucrative telecommunications field, the heyday of VOIP could very well be over.