Profile: Vonage Holdings Corp (VG.N)
14 Mar 2014
Vonage Holdings Corp. (Vonage), incorporated on May 2000, is a provider of communications services connecting people through broadband devices worldwide. The Company’s network include session initiation protocol (SIP) based voice over Internet protocol (VoIP), network on the Internet. The platform enables a user via a single identity, either a number or user name, to access and utilize services and features regardless of how they are connected to the Internet, including over third generation (3G), fourth generation (4G), cable, or digital subscriber line (DSL) broadband networks. Through this technology, Vonage offers its customers a voice and messaging services and other features around the world. In addition to Vonage’s landline telephony business, the Company offer services and applications for mobile and other connected devices. With Vonage World it offers unlimited calling domestically and to more than 60 countries, including India, Mexico, and China, for a flat monthly rate. In November 2013, the Company acquired Vocalocity, Inc.
February 8, 2012, the Company launched Vonage Mobile, which is a mobile application that provides free calling and messaging between users who have the application, as well as international calling to more than 200 countries to any other phone. In addition, calls by users of the mobile application to Vonage home or business lines are also free. This mobile application works over wireless fidelity (WiFi), 3G and 4G and in more than 90 countries worldwide. Vonage Mobile uses the phone's existing mobile number and contact list. Vonage had approximately 2.4 million subscriber lines for broadband telephone replacement services as of December 31, 2011. It bills customers in the United States, Canada, and the United Kingdom. Customers in the United States represented 94% of its subscriber lines as of December 31, 2011.
The Company’s home telephone replacement services are offered to residential, small office and home office customers through several service plans with different pricing structures. Vonage's primary residential offering is Vonage World with approximately 1.1 million subscriber lines as of December 31, 2011. In addition, the Vonage World offer includes unlimited Vonage Visual Voicemail, which is readable voicemail delivered via email or short message service (SMS )text message, Vonage Extensions, which extends the plan to additional phone numbers and devices including smartphones and feature phones, and directory assistance. The Company offers two small and home office calling plans, one of, which offers unlimited local and long distance calling anywhere in the United States, Canada, Puerto Rico, and five European countries and another that includes a specified number of minutes in the United States, Canada, and Puerto Rico.
Each of the Company’s residential, small office and home office calling plans provides a number of features including call waiting, caller identification (ID) with name, call forwarding, and voicemail. It also offers, in some cases for additional fees, a number of services, which include area code selection, where in customers can select from approximately 270 United States area codes for their telephone number for use with its service, regardless of physical location; virtual phone number, through, which a customer can have additional inbound telephone numbers that ring on a primary subscriber line, and personalized Web-enabled voicemail, which allows customers to receive e-mail notification of a voicemail with the voice message attached to the e-mail message as an audio file.
The Company’s mobile services are available through mobile applications that can be initially downloaded for iPhone, iPod, iPod touch and Android operating system (OS) devices for free. In August 2011, it launched Extensions. Vonage has deployed enhanced 911 (E-911), service to approximately 99.99% of Vonage's the United Stares residential and small and home office customer base. Vonage’s network operations are conducted by a wholly owned subsidiary that holds its networking equipment and employs the personnel who develop and operate the Company’s technology. The Company’s primary sales channels for Vonage's home telephone replacement services have been in-bound telemarketing and online direct sales. Customers can subscribe to the Company’s services at its Websites, http://www.vonage.com, http://www.vonage.ca and http://www.vonage.co.uk, or through toll free numbers including 1-877-4VONAGE.
The Company also offers sales through Vonage’s retail channel. During the year ended December 31, 2011, the Company had retail sales at 6,000 locations including Walmart, Sears, Kmart, Best Buy, Fry’s Electronics, and Microcenter. In the United States, the Company has six residential plans, which included Vonage World, World Premium Unlimited, Vonage Pro, U.S. and Canada Unlimited, U.S. and Canada 300, and U.S. and Canada 750; two mobile plans, which include Vonage World Mobile and Vonage Mobile Pay per Use, and two small office and home office calling plans, Small Business Premium Unlimited Minutes and Small Business Basic 1500 Minutes.
Each of the Company’s unlimited plans other than Vonage World offers unlimited domestic calling, as well as unlimited calling to Puerto Rico, Canada, and selected European countries, subject to certain restrictions. Each of the Company’s basic plans offers a limited number of domestic calling minutes per month. Vonage also offer international calling plans that are bundled with its Residential Premium Unlimited plan where a customer can make calls to a chosen international region. The Company offers similar plans in Canada and the United Kingdom. Vonage also offers residential fax service, virtual phone numbers, toll free numbers and other services, and charge an additional monthly fee for each service.
The Company competes with AT&T, Inc., Verizon Communications, Inc, CenturyLink, Charter Communications, Comcast Corporation, Cox Communications, Inc., Time Warner Cable, Sprint, T-Mobile USA Inc., Verizon Wireless, magicJack, Skype and Google Voice.
Vonage Holdings Corp
23 Main Street
HOLMDEL NJ 07733