by Patrick Altoft on April 23, 2007
Vodafone has issued a statement detailing exactly why they have been crippling VoIP support on the Nokia N95 in the UK.
Apparently Vodafone “doesn’t believe” VoIP is “a mature technology” and is concerned that it requires “in-depth testing, a solid end-to-end customer experience, billing integration and customer service support which is not currently available”.
The statement goes on to explain: “There is a misleading perception that VoIP services are ‘free’. This is, however, not the case when it comes to using VoIP over mobile where customers will need to use data connectivity to establish a service and may incur further charges.”
“Vodafone feels responsible that customers should not incur unnecessary charges when competitive mobile rates are a cost-effective choice for customers.”
“Lastly, it’s important to note that customers can download VoIP applications if they choose to do so or can use VoIP services via a laptop and data card.”
by Patrick Altoft on April 19, 2007
The Nokia N95 is the current top selling handset at the Carphone Warehouse in the UK despite costing more than almost any other handset on the market. Most buyers love the fact that it is the most advanced mobile phone in the world but a few customers are complaining that Orange and Vodafone are removing some of its functionality.
In what seems like a desperate move to protect their revenue the operators are removing the VoIP function from the N95, preventing users from making cheap calls via the internet.
VoIP company Truphone are, unsurprisingly, quite upset about this development and are branding it “a removal of customer choice”. It is, perhaps, not surprising that Orange and Vodafone want to maximise their revenues, given the fact that they are heavily subsidising the N95 with the aim of profiting on call and data costs down the line. Vodafone would not comment on the reasons behind the decision and Orange said it was not a policy decision and that future versions might have VoIP enabled.
The main issue with this case is that Nokia has launched an advertising campaign branding the N95 as VoIP capable and customers are being sold handsets that are clearly not VoIP enabled.
Truphone director James Tagg has stated that his company will ask Ofcom to intervene if mobile networks continue to disable VoIP on handsets such as the Nokia N95.
by Patrick Altoft on April 17, 2007
Vonage, the beleaguered VoIP provider, has hit further problems today after they admitted they had no “workaround” to resolve the Verizon patent dispute. Vonage even confirmed in a statement that a solution is not feasible given the strength of the patents.
A court recently decided that Vonage had infringed Verizons patented technology for routing calls between the internet and standard phone networks. Vonage has been banned from using the technology to service new customers, existing customers are not affected.
Vonage requested an emergency stay, telling investors not to worry and that a “workaround” would be found.
In a statement provided on Friday it seems that Vonage are unable to find a solution:
“Vonage currently has no workarounds that moot the need for a stay. While Vonage has studied methods for designing around the patents, removal of the allegedly infringing technology, if even feasible, could take many months to fully study and implement.”
Shares in Vonage have plunged more than 80 percent since last year and CEO Mike Snyder resigned just last week. The company is losing 2.5% of its 2.2 million customers every month.
Whilst the above might indicate a bleak future for Vonage some analysts are painting a more positive picture. Apparently the Verizon patents might be illegitimate as they are based on VocalTec technology dating back to 1996.
The claims in both patents were anticipated by open standards assembled by the VoIP Forum in 1996 and published in January 1997 with the participation of members from Cisco Systems, Microsoft, IBM, Nortel, Intel, Motorola, Lucent, and Vocaltec Communications, among others. The work of the VoIP Forum, publication plans, and disclosure requirements were noted in a correspondence between the VoIP Forum and the ITU Telecommunications Standardization Sector. Verizon filed another patent application (6,298,062) in the same time period that does reference the Kahane-Petrack paper of January 1997.
by Patrick Altoft on March 13, 2007
Oracle has released results from a recent study showing that over most mobile industry insiders think VoIP services such as Skype will harm the mobile industry within the next few years.
Over 80% believe that voice calls will no longer be the primary income source for mobile networks within 6 yearrs. Half of the executives questioned believe this will happen within 4 years.
Key results include:
- 72 percent of executives believe that introducing new services is the most effective strategy to counter falling voice revenue, much more so than pricing changes or marketing initiatives.
- 65 percent of respondents comment on bundled triple-play offerings as important or critical, emphasizing the importance of the overall service packaging within the communications industry.
- 51 percent of executives say mergers and acquisitions with mobile operators are strategies they are most likely to pursue in the next two years.
Denis McCauley, Director, Global Technology Research with the Economist Intelligence Unit, commented:
The global communications industry is changing drastically and rapidly. Our survey results illustrate a sense of urgency for fixed-line and wireless service providers to deliver new services for their customers in order to remain competitive.
Via Cellular News
by Patrick Altoft on February 22, 2007
Skype has this week petitioned the FCC to take action against cell phone networks who are limiting the subscribers right to run software applications on their handsets Skype wants the FCC to apply the 1968 Carterfone decision that famously allowed users to hook any device up to a network as long as it didn’t do any harm.
Skype obviously want network providers to allow Skype calling across their networks which is currently blocked on data plans. Skype believes that the capability would offer “tremendous new sources of price competition provided by entities such as Skype,”.
Expect mobile networks to fight this one to the end.
Full story
by Patrick Altoft on December 18, 2006
Mobile phones have made communicating with others simple allowing users to speak to anyone at anytime and any place. The mobile phone industry has skyrocketed raking in record profits each year. The industry started out as quite expensive but gradually, over the years, has dropped its rates and is becoming more and more affordable as more people sign up.
Something that could potentially bring the mobile phone empire crashing down is the VOIP. This stands for specifically Voice over the internet protocol. What the VOIP allows you to do is to convert your internet connection into a phone call. With the correct software your computer will function as a phone enabling you to call anyone you wish through your computer. By completely bypassing your phone company, you only pay for your internet service so your phone call is actually free.
This invention does have the long distance phone companies and mobile phone providers slightly worried. AT and T has adopted a, can’t beat them join them attitude. There looking to create VOIP calling plans so they can grab a chunk of the profits from this latest software invention. Others are not being so gracious. Some have attempted to bring in the FCC to see if the use of VOIP can be limited or even stopped completely.
The impact is varied as far as the mobile phone industry is concerned. Yes, this could impact a part of their sales. Many people may cut back on their long distance and especially international calls if there is a method of getting them for free. Long distance and international calls are some of the most expensive, bringing in some of the largest profits for mobile phone companies. However the VOIP software works your PC or laptop. These items are much larger and bulkier than a mobile phone and it’s unlikely someone is going to be able to use these exclusively for their long distance phone needs. People tend to use what is close at hand and in most cases that is their mobile phone.
Another advantage that mobile phones have over VOIP internet calls is sound quality. Many times, the sound quality is slightly questionable on the VOIP calls. There is also frequently a delay of time from when one party stops speaking to where the other party hears what has been said. This will of course improve in time but currently, mobile phones have the upper hand as far as sound quality. Most mobile phones also have speakers and volume controls that you can adjust to your liking. The VOIP internet calls do have this function but it fails in comparison to the ability of a mobile phone.
As stated before, mobile phone companies have been dropping their rates over the years. As phones become more of a common commodity the rates will continue to fall. They have also introduced perks and incentives such as free minutes. Many mobile phone users will take full advantage of this before the resort to phoning via their computer.
The mobile phone companies are not taking this news lightly. Many are looking at methods to keep their customers. Some are increasing the amount of free minutes and reducing their rates on long distance and international calls. They are also looking to improve service and increase ability.
The VOIP or voice over internet protocol will definitely have an impact on the phone companies. Both mobile and landline providers are going to have to look at rates and introduce incentives to keep their customers with them. However, the mobile phone industry is aware of the advantages it has over free internet phone calls and will surely take this into account when they review what they offer their customers.
by Patrick Altoft on October 4, 2006
Via Coolest Gadgets comes a new phone that could make a big difference in the way we make mobile phone calls.
A good number of smart phones are being manufactured with WiFi these days allowing you to make calls at WiFi hotspots. The V-Click dual-mode cellphone is a new offering from D-Link promising to enable users to switch from standard mobile networks to WiFi / VoIP at the touch of a button.
From the D-Link website:
D-Link V-CLICK phones boast a sleek, polished black compact form factor (h 4.17”, w 1.73”, d .75”), with additional colors planned to fit any lifestyle. The V-CLICK phones support Opera MobileTM, a mobile browser for logging into Wi-Fi hot spots, web surfing and email functionality on the V-CLICK’s two-inch (176×220 pixels) bright color screen.
In addition to operating like regular cell phones that communicate within a nationwide wireless network, D-Link V-CLICK phones will significantly reduce cell phone service costs by switching to the 802.11 wireless mode and connecting to lower-cost Internet telephone services. These services are available by way of well-advertised affordable consumer plans or from a cellular service provider network.
For regular cell phone coverage, the D-Link V-CLICK phones will be “unlocked”, allowing users to use their existing SIMs and pre-paid SIMs from traditional GSM cellular service providers anywhere in the world. By pressing the V-CLICK button, users activate a configurable wireless and SIP profile. Multiple profiles are available that make usage between home and office automatic.

by Patrick Altoft on April 26, 2006
A new player in the competitive UK mobile communications market emerged today when Vonage announced a new Wi-Fi based mobile phone service.
The US VOIP (voice over IP) service has combined with a leading Wi-Fi hotspot location operator The Cloud to allow Vonage users to make cheap calls whenever they are in a wireless hotspot.
A special handset will detect when the subscriber is in the hotspot and switch calls to the Vonage servce. Whenever a user leaves the hotspot the call will be disconnected and the user will need to use a traditional network to finish the call.
Although the system is likely to be slow to take off initial its clear that this is the way forward for mobile services as more and more wireless hotspots are springing up across the UK.
We understand that the service not cost extra for current subscribers paying around £7.99 per month to make unlimited UK calls. Handsets are expected to be around the £70 price range.
BT already offers a similar service using a Bluetooth connection to allow mobile phones to use a fixed line service within a short distance from a home or office “BT Hub”. The calls switch to Vodafone if the user moves away from the Hub. Mad4mobilephones understands that BT plan to launch a Wi-Fi version of this service in 2006.
More details: www.vonage.co.uk