Voice over IP is the killer app for broadband, according to a report just released from home networks research house, Parks Associates.

The white paper, entitled "VoIP: At Last a Killer App?", says that if regulations stay the same, then consumers switching to a broadband line and VoIP - and throwing away their dial-up and conventional phone - will actually be saving money each month.

Parks says that this could finally kill off resistance to going broadband in US households. "Among narrowband households not interested in broadband, almost 60 per cent cite price as the main deterrent," said Parks analyst John Barrett. "VoIP changes that equation by offering an overall net savings if you upgrade to broadband."

"Eight dollars is not a tremendous margin," Barrett adds. "If regulatory changes cause the cost of VoIP to increase by just a few dollars per month, the incentive to switch disappears. Most people will not go to the trouble."

These calculations have been done using VoIP offerings from US telcos. If you did the calculations with the free VoIP services from rogue P2P companies such as Skype, the incentive is even greater, because calls are free.

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