Saturday, September 30, 2006

Are Internet Phone Services For You?

A Broadband Phone Services Comparison

What Are Broadband Phone Services?

Sometimes called Internet phones, broadband phones use the Internet instead of regular phone networks to transmit phone calls. VoIP technology (Voice over Internet Protocol) converts your voice into digital packets that are sent over the ‘Net and converted back into analog signals before they reach the receiver on the other end.

The beauty of these broadband phone services from the user’s point of view is that they work just like a regular phone once they’re set up. The phone rings, and you pick it up. Or call someone, just as you usually would. (Note that I’m talking about hardware broadband phones here rather than software broadband phone services that need to operate through a computer.) And like other phone services, you can get broadband phone services bundled with all kinds of other phone services, such as caller ID, call waiting and voicemail.

The main selling point of Internet phones and broadband phone services is savings on long-distance phone calls; because your broadband phone call travels over the Internet instead of over regular phone lines, your call bypasses regular Telco tolls – making broadband phone services less expensive than “regular” phone services.

nd many broadband phone service providers offer free calls between users of the same broadband phone service provider.

Broadband Phone Service Choices

There are currently two main competitors in the broadband phone services field; Primus and Vonage, although many other phone and cable companies are leaping onto the broadband bandwagon. Look for Telus, Bell, Shaw, Rogers, and all the other big players to bring out their own broadband phone service packages. (Some already have broadband phone services available in limited areas.)

Catches To Using Broadband Phone Services

* You have to have a high-speed Internet connection (DSL, Cable, T1 line or greater access)to use broadband phone services. Primus says that their TalkBroadband Service works with most wireless ISPs.

* Broadband phone services are subject to all of the same security and reliability issues as anything else that’s Internet based – power outages or viruses could knock out your Internet phone.

* Sound quality is still an issue. Broadband phone users may experience distortion and clipped sentences.

* Not all broadband phone service providers offer 911 services – and those that do may only offer basic 911 service. Basic 911 emergency networks can't determine a caller's location or telephone number, meaning that you must provide this information to a call taker.

* Contrary to what many people think, long distance calls are NOT free using broadband phone services. While some plans offer unlimited minutes of long-distance calling in Canada and the U.S., calling other places will cost you. And some plans charge separate long-distance rates, even if you are calling someone in the U.S.

Costs of Broadband Phone Service Plans

Both companies offer a slate of broadband phone services. For your convenience, I’ve compared two broadband phone service plans from each company, a basic plan and a plan that may be more suited to a small business.

Primus TalkBroadband™ Phone Services

- Residential Basic Service, which includes a phone line, unlimited local calling, Touch Tone Service, Call Hold, Caller ID Block - $19.95 a month.

-TalkBroadband Pro (Basic Business Service) – Includes a phone number (from any of Primus’s 16 service areas), a basic directory listing, extension dialing, native 911, back up call forward, Call Hold, Caller ID Block - $27.95 a month.

There is a $39.00 basic activation fee. Additional features may be added for additional fees. Voicemail, for instance, is an additional $5.95 a month.

Vonage Broadband Phone Services

- Basic 500 Plan – offers 500 minutes per month anywhere in Canada and/or the U.S. - $19.95 a month.

- Province Unlimited Plan – offers unlimited calling anywhere in your local province as well as 500 Anytime Minutes to the rest of Canada and the U.S. - $34.99 a month.

There is a basic activation fee of $39.99 AND a shipping and handling fee of $19.99. So if you choose the Basic 500 plan, your first month’s bill would be $94.97.

All Vonage broadband phone service accounts include free features such as Voicemail, Caller ID, call waiting, and call forwarding. Features such as fax service can be added for additional fees.

The Bottom Line on Broadband Phone Service

If you just like new, cool stuff, leap into it.

Otherwise, don’t throw away your landline. A broadband phone may work well for you as a second phone IF you make a lot of long distance phone calls. Even if you do, looking at the broadband plan rates, I would shop around for long-distance carriers. There’s so much phone service competition right now, you may get a better deal with a traditional long-distance carrier.

However, keep your eyes on broadband phone services. With so many companies jumping onto the broadband bandwagon, rates will come down.

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