Vonage Surpasses 2 Million Subscribers

By the Betanews Staff | Published September 5, 2006, 1:19 PM

Vonage said Tuesday it had surpassed the two million customer mark, maintaining its position as the largest American VoIP communications provider. However, the company's recent disaster surrounding its IPO, along with slowing subscriber additions, have analysts saying that the company may be in for some rough times ahead.

The company ended the second quarter with 1.8 million lines of service. A UBS research report said that this represented a slowdown from 2,800 new adds per day to 2,200. Analysts have further said that competition from cable providers like Comcast, as well as smaller firms who are undercutting Vonage's prices, may begin to drag on the company's bottom line.

Comments

I use Packet 8, because Vonage does not have phone #s in this area, you have to get a # out of my area, which would dumb because my friends close to home would have to call long distance, you would think as big as Vonage is, they'd have local #s. I also did a stint with Time Warner, but Time Warner costs way more and you only get a handful of features. They charge you for voice mail. With Packet 8 I get a ton of features free, plus they are cheaper than Vonage.

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I have Vonage - they own.. The one thing i love the most about them is the USB keychain phone. Take my laptop to Aruba and plug it in, my phone number will ring there..

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Sunrocket beats the pants off Vonage in terms of features and it is about ten bucks a month less plus a steady stream of freebies for new users. Make darn sure you have your lawyer read the Vonage agreement *laughs. With Voinage Stock at $8.00 a share it will take more than 2 million subscribers to fix it.

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Packet8 (http://www.packet8.net) had local #'s available long before Vonage did in my area, and they have a cheaper unlimited plan than Vonage does. You also don't have to sign up for a year or two in advance and prepay like SunRocket.

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Everybody needs to check out SunRocket (http://www.sunrocket.com)....I didn't say move to SunRocket, simply need to check it out and be educated.

Better pricing for one...

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I use Vonage, (because of convenience) and while I like it's service now, I don't see long term use for it. Eventually I'll give up my VoIP, the whole idea of dedicating 10 digits to finding someone seems arcane and outdated.

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I don't like making phone calls over the traditional switched telephone networks either. They have excessive costs due to limited competition and regulation. Unfortunately it will probably take 5-10 years before we really start see post POTS technology really take off. In the meantime we will be stuck having to communicate with most people via traditional phone lines.

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delete.

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Yeah, but P8 & SR have unacceptable service compared to Vonage... VOIP is not yet ready for primetime/standalone-- except for business-class; but with its attendant pricing.

I recommend instead to folks, especially those that have to have cellular service, to nix their landline & transfer the number over to an unlimited cellular plan-- then buy a $100 cell to pots adapter...
IF phone residential phone service is still needed while carrying the cell away from home, then that can be combined with one of the free incoming(usually with a few minutes free outgoing included) voip plans...OR an additional cell phone added to a family plan and left permanently in the house.

One plan/bill to cover everything.

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quote: Eventually I'll give up my VoIP, the whole idea of dedicating 10 digits to finding someone seems arcane and outdated.

10 digits is the trend-- even in pots for the same city: otherwise numbers run out fast...

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I don't use all cell because:
911 service: I have kids.
Babysitter/guests: I need to provide a phone to people if/when they need it. Keeping my cell there isn't practical.
reliability: Even though I'm less than a block from a cell tower, it's service isn't reliable enough for my tastes. I bill by the quarter-hour and downtime isn't acceptable.

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