A View on View :: Early Morning Tech Thoughts: Vonage, Toronto Wi-Fi

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Early Morning Tech Thoughts: Vonage, Toronto Wi-Fi

by Mark Evans on Thu 09 Mar 2006 07:44 AM EST | Permanent Link

Now that Shaw Communications has replied to Vonage's complaint about the cableco's $10/month "VoIP Tax", maybe just maybe the CRTC will finally have an excuse to address the net neutrality debate that has been rumbling south of the border. So far, the CRTC's official policy has been it will examine the issue if and when it receives a complaint, which strikes me as far too laissez fare given the importance of this issue. At the heart of Vonage's complaint is the Internet's evolution into a two-tier system: better service (upstream and downstream) for those who pay, and best-effort service for those who don't. The CRTC should waste no time in jumping on Vonage's filing because Canada's broadband carriers are chomping at the bit to launch new sources of revenue. For more, check out Michael Geist.
One more thought about Toronto Hydro's plan to roll out a Wi-Fi network over the next three years: what happens if this service sparks a huge pick-up in mobile VoIP usage? Let's say you use a mobile phone within the city 95% of the time. Why get a mobile phone or a Blackberry if you can use a Skype-enabled phone? For all the talk about mobile VoIP, this could be where the action happens, and something that has to concern wireless cariers.

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Re: Early Morning Tech Thoughts: Vonage, Toronto Wi-Fi

by Anonymous on Thu 09 Mar 2006 11:29 AM EST | Permanent Link

What we need are Canadian SkypeIn numbers. That would open up a whole new world of possibility.

Re: Re: Early Morning Tech Thoughts: Vonage, Toronto Wi-Fi

by Mark Evans on Thu 09 Mar 2006 12:08 PM EST | Profile | Permanent Link

last time i checked, it skypein was still work in progress. not sure why it isn't available yet.

Re: Early Morning Tech Thoughts: Vonage, Toronto Wi-Fi

by Anonymous on Wed 15 Mar 2006 11:59 PM EST | Permanent Link

One set of players that are missed are the ILECs and RBOCs in the whole picture. AT&T has already introduced its own VOIP package. MSOs already have their own VOIP packages. Vonage cannot compete with their existing networks since they own their transport networks and cannot compete with their profitable business models. Can Vonage provide a LD package that is profitable? Yes, if it is high-margin. In which case, they cannot attract customers.

The only survivors may be Lingo from Primus, 8x8 and some other independent VOIP solution providers. Vonage is a losing proposition in the long run.

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