Vonage announced Thursday that Michael Snyder has resigned as the company’s chief executive officer. Snyder will be replaced on an interim basis by company founder and former CEO Jeffrey A. Citron while a search is held for a permanent replacement. The move comes amid a legal battle that could cost Vonage the right to sell its technology.
The company also announced an aggressive cost-cutting strategy which will include cutting its marketing budget, which is north of $400 million, by a quarter. Vonage will also reduce its General & Administrative budget by $30 million.
“In order to strengthen Vonage’s financial position, we are taking a number of measures to reduce our costs and operating expenses,” Citron said in a company statement.