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Skype Cell Phone in the Works

by Terrence O'Brien on October 19, 2007 at 04:08 PM

Skype Cell Phone in the Works
Skype is getting ready to make a serious push into the mobile space. The Internet-calling service, which lets users make free and extremely inexpensive calls over the Internet, is partnering with 3 Mobile (a company with, sadly, no U.S. presence) to develop a customized Skype-branded cell phone. The phone will let users switch between cell phone and Internet phone calls depending on whether or not a person is in a Wi-Fi hotspot.

Skype has struggled to monetize its popular service after being purchased by eBay. As a result, the service is trying all sorts of new things, including a recent deal to offer a Skype-like service to MySpace members.

The partnership is particularly interesting since most other mobile carriers spend their days fighting the VOIP revolution. Using VOIP (Voice-Over Internet Protocol) services like Skype on AT&T is strictly prohibited, while Verizon and Sprint are hoping to batter Vonage into the ground with patent infringement lawsuits.

The only cellular carrier that has embraced VOIP services is T-Mobile, which offers its own brand of VOIP-cell service called HotSpot @ Home (users use VOIP when they're at home or in a T-Mobile hotspot, but use cell phone networks everywhere else).

We love Skype -- it has made the telecommute so much more affordable -- so let's hope this latest plan brings it the success it deserves.



From Business Week

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Tags: 3 mobile, 3Mobile, cell phone, CellPhone, Internet Telephony, InternetTelephony, mobile, skype, voip, Wi-Fi

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