Vonage reporting slowing subscriber growth figures

Vonage reporting slowing subscriber growth figures

Vonage Holdings Corp. said in its recent revenue report that they have lost less money in the fourth quarter of 2006 than a year earlier.

However, the disappointing news is that they are also failing to attract sufficient number of new subscribers to their services.

The company is in more trouble as they are going to face increasing competition from cable operators and the established telecommunications carriers who are now offering VoIP services.

Vonage said that they ended the fourth quarter with a net gain of 166,267 subscriber lines. They now have a total subscriber base of around more than 2.2 million customers.

The company added that their revenue figures soared to US$181 million, up 91 percent from a year earlier. Vonage lost $65 million, or $0.42 per share, compared with a loss of $72 million in the fourth quarter of 2005.