Vonage states that it views the Court of Appeals' granting of a temporary stay on Friday allowing Vonage to continue to add customers as the first step toward resolving this matter in Vonage's favor. The stay will remain effective while the Appellate Court considers making the stay permanent.

Vonage will continue to provide digital telephone service to existing customers indefinitely by paying into escrow a quarterly royalty of 5.5% throughout the appeals process. Separately, the District Court required Vonage to post a bond of $66 million to secure Verizon's damages judgment.

Vonage is pleased that existing customers will not experience any interruption in service. The Company continues to believe it will succeed on appeal and continues to work on designing around the Verizon patents.

Vonage also continues to believe that this case is an attempt to do in the court room what Verizon could not succeed in doing in the marketplace -- which is to put Vonage out of business.

Vonage announced it will hold an investor update conference call on Thursday, April 12, 2007 at 8:00 AM ET. To participate, please dial (800) 289-0533 approximately ten minutes prior to the call. International callers should dial (913) 981-5525. The call will be simultaneously webcast and accessible via Vonage's Investor Relations website at http://ir.vonage.com. A replay of the call will be available on Vonage's Investor Relations website shortly following the webcast for two weeks.