More Options
Cos. Work on Internet Phone Service Deal:
Time Warner Cable is working with Sprint Corp. and MCI Inc. to offer phone service using the up-and-coming voice-over-Internet technology, one of the surest signs yet that cable companies are assaulting the local phone industry. ...
The technology will let Time Warner customers make calls with their regular phones, but the calls will travel as packets of data over the cable line that feeds into the house, rather than going through traditional, circuit-based phone wires. ...
That gives cable companies an efficient way to break into the phone business. Meanwhile, telephone providers are increasingly going after the cable companies by cutting prices on digital subscriber line (DSL) high-speed Internet service and by bundling satellite TV service with local phone bills.
Later in the article it mentions that customers with existing cable subscriptions pay $40 a month for unlimited local, toll, and long-distance calling when adding VoIP.
I think this is a noteworthy way in which the Internet is helping to increase competition and decrease monopolies. Widespread VoIP seems like its advantage is that it will allow more means of transmission for voice calls, rather than being limited to existing phone lines. This, in turn, means more options for the local consumer.
As a rule, I really don't like only being able to anything from only one company; I gladly switched to Sprint's CompleteSense plan when that was available in Baltimore and its saved me a fair amount of money already. If Comcast was to offer VoIP for $40/mo, I'd quickly switch to that (hint, hint, if there are any Comcast employees reading this).
Go capitalism!
December 9, 2003 10:22 AM