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Across the Street or Across the Globe, VoIP makes it Cheap

Article by Andrew Sale

There was a time when you would get yelled at by your parents for making a long-distance call to Grandma without them knowing. Who could blame them though? They were expensive and you probably didn’t have anything overly important to say. Well now we’re just about beyond any concept of long-distance calling, thanks in part to some VoIP phone systems.

Free International CallsRebtel, now the second largest independent provider of mobile VoIP phones, has an application that allows for free international calls between Android phones. The application detects when a call is being made internationally to one of the 50 supported countries, and then routes the call through the Rebtel network, the user is only charged the same amount as a local call would cost on their phone plan.

Mixed Reactions by CarriersVoIP plans keep getting cheaper and cheaper it appears, as even providers are beginning to make the switch to save money. Verizon found in a study that in 2007 alone, .7 billion was spent on upkeep of copper wires. By switching to fiber lines, they spend more money initially, but the upkeep is far less costly. That with the ability to couple phone lines with television and internet as well makes the investment even more cost effective.

Not everyone loves this new VoIP wave though, particularly cell phone carriers. One instance of outward aggression is coming from the UK, where T-Mobile UK has flat out refused to connect to the VoIP services of UK based Truphone. What this means is that if you call anyone with a T-Mobile UK service using Truphone or vice versa, your call won’t be connected. This move by T-Mobile UK was probably prompted by Truphone’s 3.0 client, which allows for free SMS messaging, and it is estimated that 86% of T-Mobile UK users use large amounts of SMS messaging.

With this large piece of revenue being cut out, it’s no wonder why T-Mobile made this move. Regardless, VoIP users are expected to grow to 100 million users by 2012, meaning that this is indeed the future of telecommunications. With that in mind, some experts believe that large cell carriers will begin buying start up VoIP companies in order to catch up, or even perhaps get an edge over their competition.

Whatever does end up happening, it seems safe to say that VoIP systems are on the rise, leading to a cheaper way to communicate with everyone, even grandma.

About the Author

Andrew Sale is an expert writer on phone systems based in San Diego, California. He writes extensively for an online resource that provides expert advice on purchasing and outsourcing decisions for small business owners and entrepreneurs such as VoIP service at Resource Nation.

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