6 Comments

Summary:

I have been rebuked by two people already for being polite today – Matt Marshall and Rafat Ali – both say I was being too nice. I have a perfect excuse. I have food poisoning, cold and was ebullient over closing yet another stellar issue of […]

I have been rebuked by two people already for being polite today – Matt Marshall and Rafat Ali – both say I was being too nice. I have a perfect excuse. I have food poisoning, cold and was ebullient over closing yet another stellar issue of Business 2.0. And at the risk of shocking people more, I am going to not be mean and actually congratulate folks over at Vonage for hitting the million customer mark. Others had different opinions – like this and this. As they say, the first million is the hardest.

It still doesn’t ensure a great IPO, or a great exit via sale to some greater fool. And it also doesn’t mean that cable companies are not going to eat their lunch and dinner. Or that upstarts like soon to be born YAVS (yet another voip service for acronym-challenged) IGOnet or Adcalls (oh boy this reminds me of 1999) are going to go away. But lets be nice, and applaud Jeffrey and his team for being the first million VoIP customer company. Like @Home, they made this market happen – and that in my books is pretty darn good. (I am sticking to this line, unless Skype issues a clean, and easy to understand press release!) Oh, so all of you who want to take a swing at me for being nice, well this is your last chance ;-)

  1. Vonage is certainly not the first million VoIP company. Yahoo broadband had over 4 million subscribers in Japan based on an old June 2004 number.

    http://www.lightreading.com/document.asp?doc_id=64149&table_number=1&page_number=&site=

    It might be the first in the US, but it’s a big planet… :-)

    Share
  2. [...] With Skype hogging the limelight, it is easy to forget about Vonage and its pending IPO plans. Vonage, which just hit the million-customer mark, is planning to raise $600 million in an eagerly awaited initial public offering. BusinessWeek, has a very sober assessment of Vonage’s offering, and company’s longterm prospects. Vonage “can go public in almost any type of equity market,” says Tim Walsh of investment bank Lane Berry, who adds such an IPO “ought to be well received.”…. Time for an IPO may be of the essence. If Vonage waits to go public and its market position erodes further, the share sale may not catch on. There are industry rumblings that Vonage execs were unsuccessful in a bid to sell the company — the preferred exit strategy for its backers. “Vonage is very vulnerable,” says Tom Taulli, an analyst with investment bank Instream Partners. [...]

    Share
  3. [...] It took Vonage three years and ton of cash to get to the million customer mark. Time Warner Cable hit the milestone in half that much time, and is now the second (US) company with a million VoIP subscribers. Digital Phone was officially launched in May 2003 to customers in Portland, ME. By the end of 2004, the Company had successfully rolled out Digital Phone to all of its divisions, across 27 states. Having achieved its unprecedented goal of fully deploying phone service within 18 months, Time Warner Cable has turned its focus to rapidly signing up new phone customers. [...]

    Share
  4. [...] Sep 6: Vonage Announces 1 Million Lines, claiming a “North American first.” Note this did not mean they have 1 Million subscribers since it is possible for one subscriber to have two lines. Total investment in Vonage reached $408 Million with the closing of $200 Million in their fifth VC round on May 6, 2005. This compares to Skype’s fundraising of $18.8 Million in venture capital. Om Malik on Broadband [...]

    Share
  5. I agree, this needs to be taken with a grain of salt. Vonage is definitely coming up and is making good progress in the
    home broadband market , but frankly the way they run their company and the resources theuy use to achieve these numbers leaves something to be desired.

    Share
  6. i hope vonage can overcome after the issues w/ verizon and restore the great high speed internet name! http://afforadablet1.com

    Share

Comments have been disabled for this post