VOIP heats up

In a previous post I wrote about Skype and their promotional offering of free outgoing calls anywhere in the US and Canada till the end of 2006. Well guess what – Gizmo a VOIP competitor is offering free outgoing calls to 60 countries indefinitely and so is VOIPCheap.com. The catch with the Gizmo offer is that the person who you are calling should also have downloaded Gizmo and added their numbers to their profile.

I don’t know what the business plan is for these companies but this is a classic example of emerging technology changing the rules of business. At this rate telephony does not have very far to go before it becomes like email – free as the air.

Check out the buzz in the blogosphere over this.

Update August 14th 2006:

The rules of the game are changing… With the mobile phone become an increasingly powerful computing platform and wireless Internet blanketing entire cities – the synergy is obvious – VOIP on mobile phones

This has the potential to become a market disruptor for the mobile phone market. Taking this idea to its logical conclusion, this would lead to a market where the hardware cost is the biggest cost – it would be like buying a computer and then getting the Internet service bundled along with it. The mobile phone is slowly starting to fulfill its destiny – to become the only communications device anyone needs.