Feeds

Vonage goes to Canada

Bell tolls for telcos

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

VoIP upstart Vonage is opening shop in Canada - its first foray outside the US. Canadian customers will be billed in Canadian dollars and can choose local telephone numbers.

VoIP, or broadband phone service as Vonage styles it, uses DSL web connections to route phone calls at much cheaper prices than thos of the traditional telco. The service uses Motorola VT1005v handsets.

Jeffrey Citron, chief executive at Vonage, said that Canadian consumers had been asking for the service: "Vonage has once again responded to strong demand for choice."

Fees start at $C19.99 for 500 minutes a month. For $C45.99 subscribers get unlimited calls in Canada and the US. International rates are also low with most countries costing less than 20c a minute. Services in the US start at $14.99.

Vonage is planning a European launch at the end of the year, kicking off with the UK and Switzerland. In the US, the company has early-mover advantage, but in Europe, the incumbents are set to have this slot. Vonage also faces a left-field challenge from Skype, which has gained millions of users in a few short months, thanks to the distribution of software which enables users to make free P2P calls using their broadband connections.

VoIP services will take a big slice of revenue from the traditional telcos, once the regulatory issues are sorted. But who will be the winners? The incumbents are not going to let upstart start-ups destroy their businesses. In the UK last month, BT set up VoIP packages for consumers; and in the US, AT&T, QWest and Level 3 are promoting their own residential VoIP services. Vonage is suing AT&T, accusing the telco giant of brand confusion over its service CallVantage. ®

Related stories

Vonage sues AT&T
Level 3 launches residential VoIP
US Internet homes aware of VoIP and want it now
BT spreads VoIP love across Europe
Skype secures ?11m funding
The Death Star storms into consumer Net phones
Qwest to sell VoiP to Harry Homeowner
Numbers don't add up for Telcos

Choosing a cloud hosting partner with confidence

More from The Register

next story
Of COURSE Stephen Elop's to blame for Nokia woes, says author
'Google did have some unique propositions for Nokia'
FCC, Google cast eye over millimetre wireless
The smaller the wave, the bigger 5G's chances of success
It's even GRIMMER up North after MEGA SKY BROADBAND OUTAGE
By 'eck! Eccles cake production thrown into jeopardy
Mobile coverage on trains really is pants
You thought it was just *insert your provider here*, but now we have numbers
Don't mess with Texas ('cos it's getting Google Fiber and you're not)
A bit late, but company says 1Gbps Austin network almost ready to compete with AT&T
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.