TechTest: Vonage Broadband Phone Service

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February 14, 2004

By Peter Grad

Talk is cheap. And thanks to the Internet, it's getting cheaper. It's taken some time, but reliable, crystal clear, and inexpensive Web telephony has arrived. And one company that's shown promise is Edison-based Vonage, which offers most features of traditional phone services. Its premium plan boasts unlimited calls to anywhere in the United States or Canada for $34.99 per month; other plans run $24.99 and $14.99. Company spokesman Jamie Serino said Vonage has signed up 100,000 customers since 2002 and estimates that it is adding 12,000 new subscribers monthly.

Set up is simple. You connect a digital phone adaptor (the Motorola VT1000, free with sign up) to your computer and cable modem, and then just plug your phone into the unit. The VT1000 has a built in router, thus allowing the user to route their computer and phone all through one device rather than having to purchase a separate router. Within minutes, you're ready to make calls.

Features that some traditional providers charge for, such as call-waiting, call-forwarding, three-way calling, caller ID, are free for Vonage customers. And there are extras: Subscribers can easily can easily retrieve voice messages by logging on to the company Web site. Or, if you prefer, you can opt to receive e-mails each time a message is left for you--a WAV audio file will be attached to each e-mail so you can hear the message instantly.

Perhaps the neatest feature, which will set you back only $5 a month, is Vonage's "virtual" phone number option. You simply select a second phone number containing one of 180 available area codes from around the country, and friends or family can call you at local, low-cost rates. For instance, if you pick the 847 area code, when your relatives in Skokie, Ill., call you, they'll be charged the same rate as a locally placed call, as though you were just across the street. You can choose as many virtual numbers as you'd like.

If you choose one of Vonage's lower-cost plans, with limited minutes, you can place calls to other Vonage customers for free. Fax service is also supported.

There are limitations, however. For one, because your phone connection is dependent on Internet pathways, if your service provider is down, or if you lose electricity, you will lose your phone service. Also, traditional phone services generally connect directly to local police and fire centers. With Vonage, such calls may first be routed to a public safety center, which in turn connects you to local police and fire departments. Vonage subscribers must read a lengthy, detailed disclaimer on this issue. But Vonage representatives say they are aiming to have all 911 calls instantly directed to local departments--as traditional phone lines do--by year's end.

And they say even greater improvements are in the offing. Serino says 911 calls in the future may transfer blueprints of a customer's home to fire departments, vital medical information to emergency rooms, and other household data (number of children or pets, presence of chemicals or weapons, etc.) that could prove invaluable to emergency responders.

Details: vonage.com.