The Telephone Goes Online

Some Companies Are Dabbling with Offering Online Phone Services - Will it Work?

Joe Grobin
While people debate the merits of whether using a cellular phone for all their communication needs and as a replacement for a land line telephone, a new argument in the communications realm has quietly entered the marketplace.

This is the debate over whether people will eventually bundle their Internet and phone services with one company that offers the telephone over the web. It's a novel concept considering everyone is online these days, but whether the technology and prices will support this new concept remains to be seen.

Currently, there are not that many service providers out there offering this type of product simply because it is so new. However, the fact that one service provider is using the marketing of a celebrity like Ashton Kutcher could mean that telephone service using the web could very well be the next big thing.

MagicJack is one company attempting to start a new communications revolution.

The company's users plug a USB connector into their computer and a phone jack into the wall to use the phone. The provider charges $39.95 for one year of network use, and the calls within the United States and Canada are free.

The service offers the ability to call 911, access to voice mail, call waiting and conference calls. The only downside is that your computer has to be turned on which renders this service not as great as the almighty cell phone in comparison (because it's not truly mobile).

Currently, only Northern California numbers are availabe. However, the company says Southern California numbers are on the way.

Ooma, another web phone company, has the backing of Ashton Kutcher. Telephone calls within the United States are free. However, you have to pay a whopping $399 for this service, and that is considered the introductory period price.

Perks for Ooma include 911, call waiting and conference calls. Plus, the computer does not have to be turned on in order to use the phone like MagicJack. The obvious downside is that this technology is expensive.

The final company offering phone service online is Phone Gnome which allows calls only to other Phone Gnome members in the United States and Canada. The service is $99.99 plus $14.95 per month for network use. The downside is the fact that you would only be able to call other members which makes the phone service pointless to use since so many do not subscribe to this new technology.

Overall, it does not seem worth it yet to invest in this technology unless you are the type of consumer that buys into the novelty of things (meaning you're an early adopter). For most of us, however, the cell phone will continue to be the best deal and best type of service for connecting with other people in the next few years. However, by that time, there should be other companies dabbling in web phone usage and by that point, the technology will have improved and the prices will have gone down to be competitive enough with cell phones or land lines.

  • Some companies are dabbling with web phone usage.
  • Telephone and network usage bundled into the Internet could be the next big thing.
  • High prices and the technology itself have not made this service popular yet among the majority.

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