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SkypeOut - The Real Truth

When Skype provided free SkypeOut calls across North America, it was an obvious ploy to gain users. We all knew it wouldn't last.

Today the hammer dropped. Skype's user approach, not unlike a drug dealer's (here, just have a little taste) was to get people hooked. And now it's time to pay the dealer to support your habit.

Perhas the analogy is unfair. Actually I know it is. It's still a really good deal. And as others have noted, Skype is moving strongly to entrench as an alternate carrier.

This comes at a time when Skype has also released their new Mobile Skype client. I've been a mobile Skype user for a year, but they ended that as they support over a hundred handsets now, but not mine. What I found interesting is that many of the handsets they support I've never even heard of. I'm not sure Skype mobile is viable. For me, I expect my mobile VoIP will abandon Skype in favor of Gizmo on the Nokia N80i.

Perhaps I'm the naysayer in the crowd, but Skype continues to strike me as in decline. Sure they're doing lots of enhancements and introducing new releases and programs. But frankly, I haven't seen anything I thought was particularly innovative in a while. And they certainly have done nothing that would lead me to encourage Skype use in the enterprise environment. If anything, I'm more staunchly against Skype on the corporate network than ever. From a security perspective, it's not an application I'd allow on my corporate network. And with NAC solutions, it's trivial to block.

The press release is below. Nice that for the first time Skype engaged PR to reach out to bloggers. But that said, for me, the release, and everything I've seen going on at Skype this week, is a bit of a yawner.




Skype Announces New Skype Unlimited Calling
Plan

Offers 12 Months of Unlimited Skype Calls to Any Phone Within the US and Canada for a Flat Annual Rate

SAN JOSE, Calif., December 13, 2006 – Skype, the global Internet communications company, is now offering U.S. and Canadian consumers the new Skype Unlimited Calling plan, a paid annual subscription service that allows registered users to make 12 months of unlimited SkypeOut™ calls to any phone within the U.S. and Canada. This is the first time that Skype is making an annual subscription calling plan available anywhere in the world.

Skype allows its users to make great quality voice and video calls over the Internet. In addition, Skype can be used to share files, send instant messages, conduct conference calls, and more.

The Skype Unlimited Calling plan is available for a flat rate of $29.95 per year. People who sign up for the new plan before January 31, 2007 will receive a special discounted introductory rate of $14.95 per year – 50 percent off the regular price. While Skype to Skype calls will remain free, the new Skype Unlimited Calling plan is an easier and cheaper way for the growing number of SkypeOut users to stay in touch with friends and family over any mobile or landline phone.  Consumers can also choose to pay for SkypeOut calls at low per-minute rates (e.g., 2.1 cents per minute within the U.S. and Canada).

“The new Skype Unlimited Calling Plan is an affordable option that will save consumers and small businesses hundreds of dollars compared to high rates charged by traditional phone companies,” said Don Albert, VP & general manager for Skype North America. “We want to give Skype customers convenient options of choosing either an unlimited calling plan with a flat annual rate and or staying with our standard pay-per-minute offering.”

The new pricing plan follows Skype’s very successful promotion in which calls within the US and Canada are free until December 31, 2006. Available starting December 13th at skype.com, customers who purchase the new Skype Unlimited Calling plan before January 31, 2007 will get the discounted pricing of $14.95, as well as a bonus offer of 100 minutes of SkypeOut credit for making international calls and over $50 in discount coupons for purchasing Skype-certified hardware products.

Skype is the leading Internet voice calling solution in North America, with more than 136 million registered users globally, as of the end of September 2006. An independent research report called Consumer Home VoIP Trends published by ChangeWave Research in November 2006 found that Skype is the most popular residential VoIP service (29 percent) among the more than one-in-five (21 percent) U.S. telecommunications consumers already using VoIP at home. The survey of early adopter consumers also found that another 13 percent of U.S. telecommunications consumers plan to adopt VoIP technology within the next 12 months.

About Skype
Skype is the world's fastest-growing Internet communication offering, allowing unlimited free voice, video and instant messaging communication between users of Skype Software.  With over 136 million registered users, Skype is available in 28 languages and is used in almost every country around the world.  Skype generates revenue through its premium offerings such as making and receiving calls to and from landline and mobile phones, voicemail, call forwarding and personalization including ringtones and avatars. Skype also has relationships with a growing network of hardware and software providers. Visit Skype at www.skype.com.

Skype is an eBay company (NASDAQ: EBAY). To learn more visit skype.com.



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Comments

What people don't factor into the cheap price is a lack of customer service. This had been and continues to be a real problem as I scan their forums. It's not uncommon for a paying Skype user to be without service for an extended period of time. This is priceless. Skype continues to ignore requests for better service after the sale. And we are talking about PAYING customers. Not just a freebie.

That's another dimension to the problem Rick. You're absolutely right. Skype keeps making noise about enterprise business, but in my view they're either not serious (just mkaing noise) or they truly do not understand the dynamics of enterprise networks. More likely a combination of the two.

I think Skype is a great tool. I use it at home and in my own small consulting practice. That's a very different environment than an enterprise network with hundreds or thousands of users and mission criticial business applications.

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Ken Camp's Bio:

Ken Camp has more than 25 years of experience in information technology. Ken spent 17 years with AT&T and Lucent Technologies successfully designing and implementing voice and data networks. He later worked in the security marketplace and played a key role in early IPSec VPN deployments. As an independent consultant, Ken's primary focal areas include network performance improvement, security practices and the design and deployment of integrated voice and data solutions. He may be contacted at: ken_camp@realtimepublishers.net

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