About Vonage Headquartered in the United States, Vonage is a publicly held company that mainly markets itself as a broadband phone service provider. That is because it offers telephone service over the Internet by relying on Voice over Internet Protocol (VoIP) technology instead of traditional phone lines. Indeed, it promotes itself as “Vonage the Broadband Phone Company.” Since its founding, the communications services provider has established almost 3 million subscriber accounts.
Vonage was founded on January 2001 at Edison, New Jersey. It traces its origins to Min-X.com, a brokerage firm that eventually drew inspiration from the profit potential of specializing in VoIP networks. Originally serving the U.S. market, the company eventually expanded its operations to several other countries within the next decade. It went public on May 24, 2006.
Although customers make and receive phone calls using the Internet, they do not need computers for the service. Each subscriber connects the provided phone adapter to the broadband modem that supplies the Internet connection, then connects the phone to the adapter to make phone calls as normal. The phone adapter, though, has a jack for connecting a computer. The adapter has two phone jacks, which means that it accommodates up to two phones.
There is also the option to add extra handsets for certain cordless phone systems; they are all connected to one single phone line. For instance, the main handset and base station are connected to the phone adapter while additional handsets can be placed anywhere in the house.
Vonage offers two categories of subscription plans: Domestic Calling Plans and International Calling Plans. The Domestic Calling Plans category serves the U.S., Canada and Puerto Rico, and it consists of residential plans and small business plans. The International Calling Plans category applies to up to 80 countries, most of which are in Europe, Asia and Latin America.
Main features of the phone service include call waiting with caller ID, three-way calling, call transfer and support for up to six abbreviated phone numbers that includes 4-1-1 and 9-1-1. Specialized features include the ability to transcribe voicemails into emails or text messages; Do Not Disturb for re-routing calls to voicemail; and Click-2-Call, which allows subscribers to select numbers from computer applications or programs such as Microsoft Excel or Microsoft Outlook.
The main add-on feature is an “Extensions” option to extend the service to any phone, including mobile devices, at no extra cost. The Virtual Phone Number feature gives customers the ability to call people from anywhere in the country or the world with a money-saving, local calling price. Toll Free Plus is for subscribers who want a toll-free number for placing calls to customers at no cost to the callers. Other add-on features include fax lines for faxing machines and Add A Line for adding phone lines with their own phone numbers and service plans.
In 2008, the estimated number of employees at the company was 1,600. In 2010, its revenue and net income was measured at around $885 million and $47 million, respectively.