Vonage continues to spend like drunken sailors on liberty after months out on the water.
As they spend millions, their cost of customer acquisition increases. I used to think the cost including bounties, rebates to retailers, MAP funds, slotting allowances and just about all the other laid in costs were in the range of 600-700 dollars. Now I think more.
As they keep spending the cost vs. return on a customer goes up. Add in a high churn rate and you have the makings of bad investment down the road.