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NYT Reviews VoIP: Vonage, Packet8, VoicePulse

securitas writes "The New York Times Technology section reviews VoIP services Vonage, VoicePulse and Packet8. A second article rounds up the competition including VoIP start-ups, cable companies and traditional telcos. The review primarily focuses on Vonage and it's an enlightening review particularly because the reporter isn't a techie. Most interesting is the comment from Vonage's CEO Jeffrey Citron: 'We're not that happy with the level of service today.' The outcome of the review and CEO's comments really do indicate that VoIP is still at the bleeding edge - and not for the average consumer - but the technology is maturing quickly. It will be interesting to see if the telcos do any better with their QoS (quality of service) - which has historically been a critical differentiating factor and competitive advantage - when they introduce their VoIP services in 2004."

17 of 152 comments (clear)

  1. VoIP is available for UK users now by lga · · Score: 4, Interesting

    People in the UK can now get VoIP from BT with BT Broadband Voice. They are aiming it at people with cable connections. The odd thing is that they recommend still keeping a normal phone line.

    It's quite strange to see BT doing something before anyone else.

    Steve.

    1. Re:VoIP is available for UK users now by mafelixs · · Score: 4, Insightful

      The odd thing is that they recommend still keeping a normal phone line.

      One reason I can think of is power outages. Normal phones and cell phones usually work during power outages, while you need an UPS to be able to use VoIP when the power is out. I would never rely on VoIP alone when it comes to emergency calls.

    2. Re:VoIP is available for UK users now by potcrackpot · · Score: 4, Informative
      The reason that BT recommend you keep a normal phone line is that they have to, by law (I think).

      This is because if you have no power, your VOIP phone won't work - so you can't call 999 (911).

      Apparently, BT Broadband Voice, is more of an effort to compete with cable companies (from here), although being something of a toe in the water as regards VOIP.

      However, "the service, at this point, falls short of the feature-rich low- cost offerings by consumer services, such as Vonage" - so not quite before anyone else.

      Interestingly however, their solution uses Metaswitch as their class 5 switch - as does Fujitsu's effort.

  2. First hand expereince by harryk · · Score: 5, Informative

    As a Vonage subscriber, I'd like to mention my experiences thus far.

    Excellent!

    Although, the service did take over a month to get turned on, now that it is, I haven't had any problems. The one or two occasions that the Vonage VM had to pick up, was while I was dinking with my router, and was blocking everything by mistake. I'm still working on getting QoS to work on my side, and thus improve performance, but so far the only drawk back is that I cannot be uploading at the same time, else it sounds muted when not speaking.

    I can download all day long and still recieve excellent quality voice.

    The other drawback I see, however, is the ATA. I would perfer a better way to incorporate it into the existing phone wiring, but no good. I've since purhcased a dual handset cordless phone, and no problems since, going forward, it'll be easy to take with me whereever I go. Just get the broadband access connection, and walla.

    Thinking ahead, I'm sure I can incorporate it into my home phone wiring, as soon as I get a home, currently living in an apartment, but again, minor.

    my 2 cents.

    harryk

    --
    think before you write, it'll save me moderator points.
    1. Re:First hand expereince by Heem · · Score: 4, Informative

      I simply ran a telephone cable to the outside wiring of my house, where the telco's line would normally plug in. With a little cable stripping, I was able to remove the telcos line and splice the line from the ATA right on there.

      You don't even have to get that complex about it. All you need to do is :

      1 - make sure the phone company line is disconnected
      2 - run a cable from your device directly into any wall jack

      Now your entire house is energized with VOIP signal. Remember phone lines are just all one interconnected wire, unlike ethernet wiring which has one run for each jack, connected using a switch or a hub.

      --
      Don't Tread on Me
  3. Why they need to unbundle DSL from POTS by montge · · Score: 4, Interesting

    A while back the FCC made a decision that has removed the availability of unbundled DSL service. This is one of many reason's why. Of course I understand the Baby Bell's position, you want me to not charge for the line? I say that they get to wholesale it, and frankly that the Baby Bell's should be like power companies, you get a contract to maintain the lines for X years, you get paid Y dollars, and have to maintain Z services. On top of that you get to call them "your" lines, except you have to wholesale (wholesale purchases get to pay taxes just like you do, but they just get a circuit.) At that point states/localaties get to choose competition.

    If I remember correctly this is the way Power lines/companies are handled in Chicago, but I could be wrong.

    Of course I now live where DSL can't get to, so I have to live with cable until I can convince someone to startup a Wireless broadband company on one of the many high tranmission towers in the area. That or I convince everyone in the neighborhood to by in, and I set it up.

  4. Decent overview by ehintz · · Score: 4, Interesting

    I've been using Vonage as my family's primary line since April. It's not perfect, but it's better than a cell line. Back in the SFBA I was using it over a SBC DSL line; I found that it cost about the same to use Vonage and keep a $80/mo DSL line as it did to use a traditional PSTN line and keep a cheaper DSL line. I think we saved maybe $5 or $10/mo, chump change. But where it really came in useful is last month, when we moved to Wellington New Zealand. We've been using it since our DSL went live down here, and as far as the yankees can tell we're calling from the SFBA. Even with the outrageous prices of DSL (Telcom NZ is a monoploy and they really love to ream it to you) it's still cheaper than international long distance. There's a slight bit more latency than PSTN, but not enough to matter, given the significant savings. Another nice thing is being able to dial US 800 numbers. It's a real bitch from an international line, but on Vonage it's just like I'm callng from SF. And of course when folks call us they pay domestic long distance and ring a phone in Wellington. Good stuff for the ex-pat.

    --
    ehintz
  5. Inspector Gadget by sethx9 · · Score: 4, Informative

    Hilarious! I did the exact same thing as the journalist who wrote the NYT piece: called my mom. My nickname for her is Inspector Gadget because she still gets a kick out of picking up the phone and saying "Hello (insert caller's name)" after having peeked at her caller ID box. She refuses, however, to get an answering machine. ("What the heck do I want one of those things for?")

    Like cooking rattlesnake for someone and letting them think it's chicken 'til after they've eaten and enjoyed it, I dragged my mom onto the Internet. I don't know which one of us was more thrilled.

    Oh, and the Vonage service is fantastic. I actually called Qwest and told them I was switching to Vonage. Now there I definitely knew which one of us was more thrilled!

    --
    Sorry, I keep forgetting to add the tongue-in-cheek emoticon to the bottom of my posts...
  6. NO KIDDING!!! by Pig+Hogger · · Score: 4, Funny
    Most interesting is the comment from Vonage's CEO Jeffrey Citron: 'We're not that happy with the level of service today.'
    Change CEO.

    In French, Citron means "LEMON"...

  7. Commercial VoIP is a law away from disappearing by Rosco+P.+Coltrane · · Score: 4, Insightful

    Commercial VoIP is an artificial market. By that, I mean that it only has a reason to exist because of a circumstancial state of affairs, the one dictating that commercial phone companies (traditional land-line based phones) are taxed and must maintain their network with the proceed of their sales, while VoIP companies don't pay taxes and rely on people paying their own internet connections.

    I mean, apart from the cost of calls, there are precious few technological advantages in placing VoIP calls instead of normal phone calls (I'm just talking about national calls to simplify). If VoIP companies suddenly were taxed or had to pay a fee to internet providers for the extra bandwidth, this "quickly maturing" market would vanish instantly.

    In any case, there's little difference between a VoIP company and a phone company : they both use digitally encoding to transport voice, it's just that the latter uses (and pays for) its own dedicated lines, while the other doesn't.

    3 things are likely to happen:

    - The feds step in and consider VoIP companies as normal phone companies (which they are), and tax them

    - VoIP companies are asked to share the cost of maintaining IP infrastructure, in return for the burden they impose on it

    - Traditional phone companies start providing "free" internet with their phone services, in which case customers have phone and internet for the same price, nulling VoIP companies' value

    In all cases, VoIP companies die.

    I don't see how VoIP companies will survive in the long run. They're the product of the fact that the internet is much younger, therefore much less regulated and taxed, than traditional phone networks. This will soon change no doubt, and they're actually helping the government realize that the internet is a tax loophole. I think they'll all disappear soon and actually hurt the freedom (free as in beer) of the internet in the long run by their very existence.

    --
    "A door is what a dog is perpetually on the wrong side of" - Ogden Nash
    1. Re:Commercial VoIP is a law away from disappearing by rhakka · · Score: 4, Interesting

      I think you're focusing too narrowly.

      I currently get phone, television, and internet through time-warner. If it involves the sending and/or receiving of data in my home, it goes through them, completely, with the exception of my cellphone. and you know what? IT ALL COMES THROUGH ONE CABLE.

      Phone lines were treated specially because they had to be a separate entity and a separate infrastructure utilizing public lands for a long time. That is no longer the case. Explain to me why there should be additional taxes and surcharges on my VoIP phone which utilizes cables that were ALREADY HUNG for use with cable TV and internet, with their own sets of taxes? Simply to allow phone companies to compete, when they use completely separate lines on the poles? Are you suggesting that time warner and other cable companies are allowed to use pole space without appropriate taxation for their existing cables?

      Infrastructure consolidation my friend, not an artificial market. My VoIP service may not be 100% of a regular land line yet, but it's reliable enough for me to run a business from home. Soon enough having a regular land line will be the "last mile" option or a premium service only ("Dedicated phone lines! Still work when the power goes out!")

    2. Re:Commercial VoIP is a law away from disappearing by doogles · · Score: 4, Informative



      Depends. How small do you propose this low-def TV clip is?

      G729 is defined as generating 8Kb/sec. At 50 pps (what Cisco uses), 2 samples per packet, this comes out to 160 bits (20 bytes) per packet. IP/UDP/RTP overhead is 40 bytes.

      So a typical G729 call is going to burn up 60 bytes per packet * 50 pps == 3000 bytes/sec == 24000 bits/sec

      That's AFTER IP overhead, as you can see in my math.

      Ignoring IP overhead for a moment, I'm unsure how you propose a low-def TV clip is going to be any smaller than 8Kb/sec. The audio alone would probably be encoded higher than this.

      Frankly, VoIP is a pretty small burden on IP networks, at least as far as bandwidth needs go. It's need -- and where you typically have issues over enterprise networks -- is consistancy. Jitter is the enemy of VoIP, and right now, most serivce providers offer no SLAs for this particular metric. This will change over time, and people will begin to demand differentiated services for their different types of traffic.

      Look in to Cisco's V3PN (Voice and Video-enabled VPN) program for information about how they propose to build and deliver end-to-end QoS to their SP customers:
      http://www.cisco.com/go/v3pn/

  8. Rah, Rah Vonage by Gnascher · · Score: 4, Insightful

    Been trying out Vonage for over a week now. So far, I haven't a single complaint. Call quality has been excellent, my only complaint being that it is a bit louder than my land line. All the free included features are very nice.

    The coolest thing, however is being able to retreive my voicemail from the web ... or have them delivered to my Email inbox as a .wav file!

    I got fed up with the fact that I still have a charge on my Verizon phone bill for "Touch Tone Service", and that high-tech features such as "Call Waiting" still have to cost between 4 and 6 dollars!!! Not to mention the slew of taxes and fees that bloat out the monthly nut...

    Hopefully this threat of real competition will revolutionize the telecom industry. ...or even better, sink the baby-bells into a pit of despair!

    --
    It's not my fault! It was this way when I got here.
  9. Re:Don't support Vonage by Anonymous Coward · · Score: 5, Informative
    Vonage has sold out and are owned partially by the Canopy Group. We all know the Canopy Group is also involved in the whole SCO mess. If you use Vonage, you're supporting Canopy (some money goes to them) and therefore are supporting SCO.

    thats not interesting or informative, its a troll. check your facts before modding posts like this up.

  10. We'll see more VoIP in the future... by phoenix321 · · Score: 5, Interesting

    All communication lines going to any endpoint (home, business, sensors, etc) are quickly moving to an IP based data network. Unfortunately, there are two problems that governments and current telephone companies face:
    1) Roughly 50% of their voice revenue stream comes from per minute connection charges, other carrier access charges, & regulation charges (govn't). These will evaporate when subscribers move to data driven VoIP (ie: you pay a flat fee for DSL or cable modem bandwidth now, and it can run all your voice calls to anywhere in the world). Eventually the PSTN connection part will no longer be necessary, so Vonage will disappear as we know it today, but it has finally woken up the telcos to what the future will bring.
    2) Pretty much the other half of their revenue stream comes from the 'premium' voice feature services (call waiting, text messaging, etc), all of which are quickly moving from the class 5 switch into the phones themselves (aka: free).

    What do you do when your primary revenue stream evaporates? Fight it in the courts or with govn't officials. Remember, govn'ts have been taking a nice chunk of that revenue for themselves as well.

    We will have to move to a bandwidth & quality of service (QoS) based payment style. A minimum bandwidth is given for a flat rate (which will include -all- voice), and extra bandwidth will be provided on demand at an agreed QoS. The higher the bandwidth & QoS, the higher the fee.

    Things to watch out for: VoIP everywhere, SIP phones/services, VoWLAN, current voice carriers moving their infrastructure to their IP networks, and govn't regulations dictating that comm lines (called data services & unregulated) become regulated for QoS.

    The companies that move to this model last will not survive. They aren't going to like this. :-)

  11. Packet8 by Heem · · Score: 4, Interesting

    Unfortunatley, the article only briefly (very briefly) covers Vonage's competition. I'm using Packet 8 and have been for some time now. I've found their customer service to be EXCELLENT, unlink the article suggests - Perhaps the author of the article did not realize that they are based on the west coast, and while many people believe this to be true, the world does not revolve around Eastern Time - Before anyone starts screaming - Im also on the east coast.

    Anyway, we had the packet8 service installed about 6 months ago, unfortuntatley before number portablility was available, so we got a fresh new number. I had a minor problem in the begining, since my firewall (sonicwall) had a known incompatibility with H323 packets, This has since been fixed with a firmware update on sonicwall's side, but I solved the problem just by putting the phone directly on the WAN ( I pay for 5 IP's, might as well use them).

    Voice quality and overall satisfaction was poor to fair in the first month or two. The phone numbers would come into the caller ID boxes all garbled up, since they would add a "1" to the beginning of the number, making the CID info all skew by one digit.Also, the time CID info was Pacific Time, not local time.

    This has all been remedied since then. We've bought our first house and I brought the packet 8 device with me, plugged it into my network and installed a jack in the basement near where my network is setup. Simply plugged the device in, and we were up and running. The big bonus is we don't have to change our phone number, or pay bastard child SNET (SBC) any money.

    I'm sure this is where VOIP has a big market - People like me who have been burned hard by the local phone company- you know, the guys that never care about you or me.

    So, Give packet 8 a try - I'm happy, and I believe they offer a risk free trial.

    --
    Don't Tread on Me
  12. Vonage not quite ready by philipsblows · · Score: 4, Informative

    An actual Vonage user for about 3 months now.

    I signed up with Vonage back in October, or maybe the end of September, of 2003. The intial experience was not bad at all, and in fact the Cisco ATA-186 worked flawlessly with my netfilter configuration once I setup dhcp. The intial customer support was great, with fast, meaningful responses.

    I opted to transfer my old POTS phone number from Qwest, so I had a temporary Vonage phone number for incoming calls on that line. My Qwest phone number appeared as my outgoing caller-id number on the Vonage line, which was nice, since several of the people I call use caller-id and/or distinctive ring features.

    Then the trouble began.

    To transfer the number, you have to submit a Letter of Authorization along with a current phone bill. I asked them if I could scan and email the docs, and I got an immediate response with instructions to email attachments of the documents to a particular email address and they would print them out. I thought this was great!

    First attempt, scanned them in at a resonable resolution, sent them in, got a response that they were not legible. No more informative than that.

    Scanned them in again, this time at 300 dpi greyscale and sent them as TIFF documents. They looked excellent, if I may say, but the response once again was that they were not legible. I suggested that there would be no way I could fax documents at a higher resolution using any fax machine I had access to, so they cancelled my transfer.

    At that point, I was a little ticked, and a couple of days later I learned that someone finally printed out the documents and they looked just fine (as expected), but then nobody got back to me and told me this (I have this email thread stored away in the Stupid folder...). But, once the process is cancelled, it has to be handled manually, which means as slowly and painfully as possible. Oh, and there was absolutely no way to get them to put that to-be-transfered number back as my outgoing caller-id number, so everyone would answer with "what number is this?" or "where are you calling from?" or just not answer (I get that enough when they know it's me...).

    On November 19, 2003, my number was transfered. Okay, actually on November 20. Well, actually on November 21. Wait, it was done on November 22. But remember, I had that Temporary number, which meant that even thought my Qwest number was now transfered, it didn't work. My outgoing caller-id was wrong, and my incoming calls would go to voicemail okay, but then my voicemail box was assigned to the temporary number. The email notifications of this process were not useful, and in fact they never sent a final email when the transfer was "complete."

    It took a good week of emails, and finally I got on the phone for 75 minutes (timer running, that's the acual elapsed time) with a tech support person there who actually asked me for my login password (which I did not give him-- so they simply reset it on their end and logged in anyway). By the time I was on the phone, just about nothing was working according to plan.

    In the end, I lost access to my voicemail box twice, had this number transfer go completely sour, had a very negative experience with the number transfer person (I have her name but won't bash her here), and presently my main issue is the intermittent and extremely annoying echo on my end of the calls. The Vonage FAQ suggests this happens with some handsets, but as it happens, one of my best buds from college is a VoIP developer at Cisco and gave me the 411... basically, Vonage has to fix that little feature, but I don't fell like spending an hour hearing about how the FAQ spells it out for me (incorrectly).

    To be fair, Vonage service is lower in price than Qwest service was for residential use (in Arizona) and the feature set is fine. I pulled the outside wires from the phone junction box (they're rj-11 plugs) and plugged the Cisco ATA box into my house wiring, works without a hitch (before