ON SKYPE 2.0 SOFTWARE DRIVING MAINSTREAM VOIP HARDWARE

WHERE'S THE PHONE?

When it comes to Skype's announcement today, I agree with Paul Kedrosky.  On the surface, there's not much newsworthy about Skype's release of it's version 2.0 beta of it's internet telephony software (VOIP), this time with the capability to provide free video conferencing.  As Paul puts it:

"I’m with Om. Skype’s new 2.0 release, despite the praise heaped on it by the WSJ’s Wall Mossberg today, demonstrates, more than anything else, the dearth of new ideas in telephony.

The big news is that Skype has added video conferencing that still doesn’t get it to the quality of two-year-old (Apple's) iChat AV? Well, pardon me if I don’t get excited about another Windows service with IM, indifferent video, and voice support."

All of the GYMAAAE players now have some presence in the internet telephony/video marketplace, with the exception of Amazon.

What's more interesting is the increasing amount of third-party hardware support for internet telephony that's starting to show up, which could accelerate it's mainstream acceptance.  Although it may be "cool" to  call someone through your laptop or PC, via a headset, the ability to pick up a regular looking phone for the same call is infinitely more comfortable and familiar.

As Walter Mossberg notes in his review of the Skype 2.0 software, which he likes by the way:

"But I was most impressed with the new Skype phone I tested, the $100 Linksys CIT200. It looks and works like a regular cordless phone. But it links wirelessly to a little base station that connects to your computer.

And it has a big Skype button that connects you to the Skype service via the PC. The phone displays your Skype contacts, and you call them with the press of a button. You can also make calls to non-Skype phones, via SkypeOut.

I tested the phone by calling both Skype users and non-Skype users, and it worked great everywhere in and around my home -- upstairs, downstairs, even outside in the yard."

It makes sense for Cisco's Linksys unit to expand it's hefty market presence in wireless home networking into consumer internet telephony with something like the CIT200.

Which leaves the question how long will it be for us to see similar products from Microsoft, as they potentially expand on the hardware side from keyboard and mice. 

Microsoft also has a big axe to grind on internet telephony for it's MSN and Microsoft Live.com services, especially after it's recent acquisition of Skype rival, Teleo.

Good old-fashioned new phones for internet telephony...another place for the fight amongst titans to continue.  And they're available just in time for the holidays.

Comments

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