Skype's Free Calling Promo Ends, And Now The Hard Work Begins
from the mr-telephone-man-there's-something-wrong-with-my-business-model dept
Earlier this year, Skype announced that all outgoing calls to the US and Canada would be free through the end of 2006 in a big promotional push to try and attract users, but also an inevitable result as the cost of voice service trends towards zero. Skype has now released its pricing for after the promotion ends, and it will charge $30 per year for unlimited US and Canadian calls (with early subscribers paying just $15). Skype's free calling offer didn't seem bound to last indefinitely, and $30 per year for unlimited outgoing calls to North America certainly isn't a bad deal -- but when you're in a price war, it's awfully hard to successfully raise your prices. Will users start paying for the previously free services? While Skype is still cheaper than many other voice services, it also carries a lot of strings, in particular being tied to a computer, unless users shell out for a standalone VoIP handset, which are still pricey and by some accounts don't work very well. While a Skype exec says the company's revenue are back up to the same levels as before the free calling promo, there's still a lot of skepticism about Skype's success as a business. Getting blocked around the world doesn't help, but Skype's basic problem is much more fundamental: will enough people pay for its services?
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As long...
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Orly?
While it is true that you are tied to having the computer in front of you, you can always have your calls forwarded to your mobile phone when you are out of the house.
As of now, i havent had a problem at all with Skype. Using SkypeIn I am able to buy phone numbers around the world, which is useful seeing as I am an American living abroad who likes to keep in touch with family and friends.
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Re: Orly?
While it is true that you are tied to having the computer in front of you, you can always have your calls forwarded to your mobile phone when you are out of the house. If it's your only form of telephone how are you forwarding it to your mobile???
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Re: Orly?
While it is true that you are tied to having the computer in front of you, you can always have your calls forwarded to your mobile phone when you are out of the house.
If it's your only form of telephone how are you forwarding it to your mobile???
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Re: Re: Orly?
Thirty bucks a year is still a fantastic deal. Telco's will charge you that in one month for long distance.
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Gizmo!
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Caller ID
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Re: Caller ID
Admittedly my family is similar but recently they have noticed that my name at least appears on Caller ID when I dial from Skype. Although this could be a consequence of puschasing a SkypeIn number? Any guesses?
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Skype
Also, they made clear from the get go that the promotional freebie was until year end. I was expecting some sort of monthly charge. $30 is a small price to pay.
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Wheeee
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Orova should have been funded
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Skype will succeed.
Between it and my cell phone I have no need for any normal phone line. I've got the skype in hooked up to a portable phone system for the home and I've never had any problems. The sound quality is better than my old pots line and I've never once had the all circuits are busy that I used to get.
Skype may not flourish as well as a normal telco company, mostly because they haven't bought off all the politicians and the fcc, but I have no doubt that they will make money.
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Re: Skype will succeed.
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Skype peripherals are the winner
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Skype Handsets
I used it for a few months for all my long distance calls before I switched to my cable company's phone service, now I get unlimited long distance included.
The call quality is quite good and except for the funky number showing up in Caller ID, most people can't tell you're not calling from a regular phone.
I wouldn't mind paying $30 per year if it includes an incoming phone # as well, especially if I could get a phone # from a different area code (as you can now) so my family could call me "locally" instead of long distance.
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