Cisco sues HP over VoIP contract

Claims it's owed $58M while HP seeks "full credit" after cancellation

Cisco is suing HP in a dispute over a $58 million contract to provide services to an HP VoIP customer. The contract dates back to 2012, according to this post in The Recorder.

Cisco agreed to provide support for HP's VoIP service purchased by an unidentified HP customer. That customer then cancelled its HP service, and HP in turn cancelled its Cisco service in 2013, according to The Recorder.

The cancellation entitled HP to early termination credits applied toward its remaining balance. After the credits were applied, Cisco determined HP still owed $58 million.

HP responded that the company is entitled to a "full credit," and should have to pay nothing. Cisco claims HP is now seeking credits that amount to more than what HP owes.

States a Cisco spokesperson in an e-mail:

On August 24, 2015, Cisco filed a lawsuit in Santa Clara Superior Court seeking to recover monies owed after the early termination by HP of a services agreement between the two companies. The services agreement at issue was financed by Cisco Capital and the dispute relates to the calculation of a monetary credit to be applied to the loan balance owed by HP under the financing agreement. As this matter is before the courts, we will not provide additional comment.

An HP spokesperson says the company has a policy of not commenting on pending litigation.

More from Cisco Subnet:

Cisco's new leadership team is...

Cisco's two presidents resigning

Cisco sees Internet half full

Cisco loses patent appeal

HP buying SDN company for NFV

Cisco's IoE keeps abreast of cancer

Cisco bypassed Russia sanctions to continue sales: report

Cisco, Chambers looking for one last shot at VMware?

Cisco's Chambers: A Retrospective

Cisco taps veteran Robbins to succeed Chambers as CEO

Follow all Cisco Subnet bloggers on Twitter.Jim Duffy on Twitter

Join the Computerworld newsletter!

Error: Please check your email address.

Tags HPNetworkingcisco

More about CiscoHPTwitterVoIP

Show Comments