Consumers pick up on Net phone trend
| • | AT&T plan saves up to 25 percent |
By Scott Craven
Arizona Republic
If you're browsing for the next frontier in phones, stow your cell and eye the Internet.
By the end of 2006, 1.8 million households will be making calls from phones plugged into the Net, up from 135,000 users in 2003, according to In-Stat/MDR, a research firm that tracks the telecommunications industry.
"This is not a passing thing," said Daryl Schoolar, a senior analyst for In-Stat/MDR. "We're going to see more movement toward VoIP services."
VoIP (pronounced "voyp" and standing for Voice over Internet Protocol) refers to calls transmitted over the Internet, bypassing the wires and networks owned by phone companies as well as their charges.
VoIP's limitations (poor vocal quality and confusing software) have been overcome, which could raise the technology from quaint status to phone of the future.
"VoIP is the start of a telecom evolution," said Kevin Mitchell, an analyst for Boston-based Infonetic Research, which tracks emerging telecommunications technology.
AT&T is convinced of VoIP's future success. The telecommunications giant is rolling out services this year in the top 100 U.S. markets.
"It's clear that many consumers understand the 'wow' factor of VoIP services," said Cathy Martine, an AT&T senior vice president.
Vonage is counting on that. The New Jersey-based company is the market leader with 115,000 VoIP subscribers, adding an average of 4,000 a week, said Louis Holder, a Vonage executive vice president. Vonage counted just 8,000 subscribers at the end of 2002, its first year of business.
Interest is expected to grow thanks to a deal with Circuit City, which now carries a Vonage starter kit for $100. The kit includes an adapter (to plug any phone into an Internet connection) and the first two months of service are free.
Josh Chaney, 22, of Phoenix, needed just five minutes to hook his phone to the Internet through the Vonage-supplied router. Chaney signed with Vonage because the company offered more services for less than his Cox phone service. His $17-a-month service fee also includes 500 long-distance minutes.
VoIP phones also can be used wherever there is a broadband Internet connection.
While Vonage and similar providers offer dedicated networks for improved quality, people who use their PCs to make calls to other computers are subject to the whims of unpredictable Internet traffic.
AT&T plan saves up to 25 percent
By Edward C. Baig
USA Today
AT&T's Voice-over-Internet-Protocol service, CallVantage, includes unlimited local and long-distance calling for $40 a month, following a six-month promotion of $20. That's roughly 20 percent to 25 percent less than its typical OneRate plan. International rates are a nickel a minute to Canada and 6 cents to Britain.
In addition to features found on a regular phone (call waiting, three-way calling, speed dialing, call forwarding and caller ID), CallVantage provides a few goodies. Incoming and outgoing calls are automatically logged on the Web, and you can look up any unfamiliar numbers. You can retrieve voice mail via the Web or have those messages forwarded as e-mail attachments.
A Do Not Disturb feature tells people that you are not accepting calls unless it is an emergency. Your phone will not ring. If it is important, callers press "2" to let the calls through.
If you want to be reached, a Locate Me feature improves the odds. The system can sequentially or all at once dial up to five phone numbers you enter, such as your cell phone. Callers will hear a greeting asking them to hold while the service attempts to find you.
To exploit CallVantage, you can employ any off-the-shelf touch-tone telephone. While almost any phone will work, you need a broadband Internet connection, specifically a speedy, always-on (two-way) cable or DSL modem.
If your Internet connection crashes, you will not be able to use the phone service until broadband is restored.
