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Court orders Vonage to pay into the Universal Service Fund

Filed in archive Companies by gautam on June 6, 2007

Court orders Vonage to pay into the Universal Service Fund
Vonage is already going through a bad phase and today every cent holds value for them. Do you all remember that FCC had directed all companies providing VoIP to contribute to the Universal Service Fund for offering subsidized phone service in rural areas? Up till now Vonage was unwilling to open its purse but a judgment in favor of FCC states that Vonage is liable to contribute to the fund.

The company had earlier appealed against the decision stating that FCC did not have the sufficient authority to ask it to pay into the Universal Service Fund. Vonage also had hassles over the percentage of money that telecom companies needed to contribute to the fund. For VoIP companies FCC had set a limit of 64.9% of long distance calling revenue which is almost double of what wireless companies are required to pay. Vonage stated that they were not against the Universal Service Fund but the funding methodology. Though its good news for FCC but since Vonage is already bleeding as a result of patent rows it would feel a lot of pinch paying out its share. Bad luck Vonage!! It's trying every possible trick to save its money but fails every time. It seems the time is not favorable for the company.







Permalink: Court orders Vonage to pay into the Universal Service Fund
Tags: Vonage  FCC  VoIP  Universal  Service  Fund  USF  500+Internal+Server+Error+read+timeout  500+read+timeout 

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