Skype buying Gizmo5 would finally bring the necessary growth to SIP

Andy Abramson wrote a really nice blog post on "Why The Gizmo Sale to Skype Rumor is Good For The Industry". I couldn't agree any more with him. Andy is just right, Amen to that.

Dear Skype, please buy Gizmo5! Together you can develop a real Peer-to-peer SIP and don't need JoltID anymore.

Andy's blog post sums up the advantages that a SIP based Skype would bring to other VoIP companies like OnSIP, Voxbone, Truphone, ifByPhone, xConnect, Voxygen, Thomas Howe, Voxex, Cloudvox, Twilio, Broadsoft, etc. The list goes on and on.

But I also see an other advantage: I think that such a deal would bring the necessary growth to the SIP world. The number of real SIP users, who can always call each other for free over the internet, hasn't grown as needed. SIP grows much too slow to be a viable alternative to PSTN phone networks, half a billion new users from Skype would mean a big boost.

When I started tinkering with VoIP, more than 3 years ago, I hoped that soon all calls would be free because everyone would switch to SIP. That never happened, I am still the only one of my friends who you can call directly on his SIP address. The model didn't scale as I hoped.

Of course our phone calls became much cheaper because now we all have these flatrates for fixed lines, which are included for free in our broadband contracts. Every one of my pals can call me for free wherever I am. As a VoIP user I take my German phone number always with me, all over the world I can connect it an be reachable as if I was in Berlin. Maybe next time I'll answer your call from Lima, Peru. I can call my friends for free too, because my DSL contract got a free flatrate for fixed lines added although the contract got cheaper.

But all these free calls touch the PSTN and they aren't what I had dreamed of. If Skype steps in and brings half a billion users to the SIP world, it would be a great win. Maybe people would do then what I always try to convince them: Ditch their landline and go VoIP only as I did.

Nokia leaves Asterisk users in the cold

A commentator to my last post "Why Truphone and Gizmo5 applaud that Nokia turns it's back on mobile VoIP" doubts my argumentation by asking:

I thought Truphone is based on the built-in SIP client? Then it would seem unlikely that Truphone applauds Nokia dropping the mobile VoIP stack from certain models.

My answer is the following:

Yes, Truphone until now works on top of the built-in SIP client. But the Truphone software develops more and more into a standalone application: with the inclusion of SMS, callthrough where no Wifi is available, presence information and so forth. They aren't afraid of building their own SIP app since it ties the customer even more to them. Therefore Gigaom wrote:

Truphone isn’t waiting around for Nokia to do something. A company spokesman told us: “From Truphone’s perspective Nokia has removed the VoIP client from all the N-Series phones for the planned future. We are putting in a replacement client functionality so that existing customers are not orphaned.”

Don't forget that Truphone has a very high pricing for Wifi calls! Their software is convenient to install, but many other VoIP companies are three times cheaper. That's why they would be very happy to be your only mobile VoIP provider. Vyke already launched their own client, as you can read here, and Gizmo5's CEO Michael Robertson officially applauded Nokia's move in a FierceVoIP article.

The only losers are the cellphone users, since these 3rd party apps are much more difficult to use than the native SIP client. Read this insightful comment, posted at Phoneyboy's blog:

"I’m using VOIP on Nokia’s phone via my own asterisk server. How can Nokia expect me to develop my own Internet telephony application so that I can continue to use it? There are simply thousands of small users out there for whom this is beyond what they could do. This will leave them out in cold.

And further comment. Any third party application will have hard time to match the comfort of integrated symbian UI, where normal and internet calls are integrated together and one push of a button decides which one to make. Just compare this with Fring whose UI is just terrible."

We tinkerers who use Asterisk, Voxalot, Voipstunt, PBXes and Iptel.org are out of the game for the new Nseries devices. I am afraid that the Nokia E71 is the last cool device for a VoIP aficionado like me. Hopefully the Android devices will have more to give. Phoneboy calls us, who use 10 VoIP providers on our Nokia devices, a "minority". Nevertheless he "understands the frustration". Thank you!

But still I think that he is wrong, or maybe just blue-eyed, when he says: "It sounds like the problem is only limited to these two handsets". The problem affects all Symbian Series 60 3rd generation Feature Pack 2 (S60 3.2)! This means: All new handsets from now on are affected. Nokia's VoIP isn't revolutionary disruptive anymore, but has changed to a big boys' only business.

P. D.: I have just found a new Gigaom article about the topic: "Nokia Clarifies Its Future N-Series VoIP Plans". Thanks for quoting my thoughts.

Why Truphone and Gizmo5 applaud that Nokia turns it's back on mobile VoIP

Om Malik has asked "Is Nokia Turning Its Back on MobileVoIP?", pinpointing to the fact that the new Nseries devices N78 and N96 lack an own SIP client, while Nokia before embraced mobile VoIP on it's Nseries and Eseries devices. Charlie Schick of Nokia Conversations says the report of the death of VoIP has been "grossly exaggerated" and people like Phoneboy, Gizmo5's Michael Robertson or the company Truphone are buying that argumentation, although it has its flaws. Truphone, Gizmo5 and Fring must have realized immediately that they are winning from Nokia's move. That's why they are holding back their horses.

Nokia says that it's no problem that they have removed the native SIP client from their latest handsets, since companies can develop their own VoIP software based on great APIs. But it's not as easy as Nokia is trying to say: There are hundreds or thousands of companies without an own software for mobile VoIP. They just rely on the SIP standard. In Germany it's GMX, 1&1, Sipgate and the several Betamax daughters. Together they have millions of customers, I am one of them. These people cannot use VoIP on the new Nokia phones. I have always ten or more VoIP providers installed on my Nokia E61i's SIP client. This way I can always use the cheapest route and leverage free on net calls.

It would be nasty if had to install ten or more pieces of software for that purpose. It's already annoying that Truphone requires a special software because they don't give me my SIP password. That's a perversion of the idea of standards. If I need a special software for every company's offer why is there a standard called SIP?

So as a VoIP tinkerer I have to stay with the older Nokia devices, or at most I can change to the E71. But Nokia's new Symbian release, S60 3.2, is no option for me - as long as it has no own SIP client. It's obvious why companies like Fring, Truphone, Gizmo5, Vyke and others are applauding the Nokia move. It ties their customer to them and makes it more difficult to use other companies' offers. With a native SIP client, which allows to be connected to several different SIP services at the same time, I can be promiscuous. Even the most disruptive mobile VoIP companies prefer to lock me in their walled garden, but I don't want that.

I still believe that pressure from mobile operators has caused this move of Nokia. HSDPA and HSUPA have brought great bandwith to the latest handsets, enough to use it for Voice over 3G. With the right voice codec you can talk about 15 minutes and use only 1 Megabyte of data. Filtering for VoIP packets slows down the mobile data networks and therefore it's not very common. If you combine that with the right VoIP provider, like Betamax, this means free mobile phone calls to more than 30 countries. Only data prices apply.

Finally Truphone Anywhere comes out and proves me right

Truphone finally makes it public: According to fellow VoIP blogger Alec Saunders and the UK site Techworld, Truphone is set to announce Truphone Anywhere, a service that lets you acccess the Truphone network from any mobile, whether on WiFi or not.

You know what? I know this service since February and better didn't tell to not ruin Truphone's surprise. Research Director James Body showed it off secretly to me at the Mobile World Congress in Barcelona. That's what I wrote in a later blog post on February 29, 2008:

They always have much more advanced Truphone versions installed than normal users. The last lab version I saw in Barcelona was quite promising and solved a problem I was always nagging about.

I am don't think that the new Truphone Anywhere feature with its beautiful Skype like "A"-logo is a direct reaction to my nagging blog post "To make money from mobile VoIP, companies have to accept certain realities" from February, 1st. But it attacks the problem that "WiFi isn't everywhere and callback costs double", which was always my strongest point against many mobile VoIP business ideas like Truphone.

To solve it, I recommended a network of international callthrough numbers which users can dial for local prices to channel their mobile phone calls into the VoIP system of companies like Truphone, Gizmo5 or WiFiMobile. It seems that Truphone finally took my advice, after Wifimobile had already announced a similar solution and Gizmo5 always cooperated with Sipbroker for local callthrough.

Techworld now writes that Truphone could join the bandwagon because they have bought the travel SIM card provider SIM4Travel. But I guess that Jajah or Tpad could also have provided with the necessary infrastructure.

Truphone Anywhere dials a gateway on a local number, which then connects through to the destination number, saving money if it is an international call. Unlike some other services, this is transparent, with the call set-up handled automatically after the user dials the remote number. It is enabled partly by a recent Truphone acquisition, SIM4Travel, which provides cheap international calling through gateways in Europe.

Let's see if it's as cool as the Israeli mobile VoIP software miracle from Mobilemax which automatically connects the cheapest way. I am also wondering what came first: 1.) the acquisition of SIM4Travel, 2.) the last round of financing, 3.) Truphone Anywhere? The official Truphone version is 1, 2, 3. The financining allegedly followed one week after the acquisition on April 17, 2008. But I am pretty sure that it went 3, 2, 1.

UPDATE:
I have now installed the new Truphone software 4.0. Anywhere doesn't work yet in Germany.

UPDATE 2:
After contact with Truphone's tech support and a complete erase and reinstall it works now.

A free bridge from Skype to phone

Do you remember my blog post "A SIP address for Skype? Better the other way around!"? This mission has now been accomplished. As of yesterday you can call me on Skype and I will answer this call on my desk phone or cell phone using SIP VoIP telephony. As I always try to achieve, this is a totally free solution.

I have joined Voxeo's developer program for their Evolution application, a visual design tool for interactive voice response (IVR) systems. Part of the deal is that you get a strange phone number with a +990 country code. There is no country associated with this code and Skype users can call these numbers for free. My Skype account is now being forwarded over Voxeo to a SIP address from Gizmo Project which I manage on Voxalot to make use of it's call connection rules and voice mail.

Have a peek on my settings:

A better explanation can be found at the Voxeo support forum. I wonder what VOIPSA's Dan York would say. In January he started a discussion with his blog post "Skype says "No" to VoIP interoperability - *because customers aren't asking for it!* - Well, I am!". He is, by the way, working for Voxeo and this partly solution for his problem comes from his own company. So I guess he was always aware of this trick.

I am happy now that people can call me with Skype and I don't have to keep me computer running or buy a special Skype phone for this purpose. That's the reason why I nearly never used Skype. I don't like applications which keep me tied to my computer in order to receive messages or phone calls, like Skype or the MagicJack normally do. Let's see which other solutions I can develop with Voxeo. Their visual tool makes the design of VoiceXML fairly easy.

Israeli mobile VoIP software miracle automatically connects the cheapest way

Last year I was nagging that "Packet8 MobileTalk could be done much better", and I was right. I could learn that now when the Israeli company Mobilemax installed for me on a cellphone the underlying software which powers Packet8's MobileTalk. It is a real mobile VoIP wonder weapon which I covered in an article for Areamobile. Companies like Truphone, Gizmo5, Wifimobile and Tpad should make its features a part of their mobile services to make them work also outside of the spare Wifi areas.

Internet telephony could be a killer application for mobile phones. But it has it quirks, shows a series of articles I wrote. In most cases you need at least a cell phone which can open mobile websites. It let's you do a mobile callback with VoIP providers like Jajah or Voxalot. After entering the phone numbers of the caller and the callee on a mobile website, a server rings up both and connects them over the internet. Of course this also costs double, but for international calls it's still cheaper than the own cell phone provider's prices. Only Wifi cell phone calls are less expensive. They only cost a few cents per minutes and often they are free. But Wifi isn't always available.

Mobilemax thus developed a software which automatically sends mobile phone calls the less expensive way over the internet whenever that's cheaper than normal calls. No need to open mobile websites on the phone or to trigger callbacks by SMS or instant messaging. The software simply sits unobtrusively in the background and automatically determines the way in which the call is connected. The user only needs to enter the number.

Establishing a call with VoIP software from Mobilemax

The program works on about 500 phones with Palm, BlackBerry, Symbian or Windows Mobile operating systems and last month it has been deployed for the first time by the US VoIP provider Packet8. Once a number has a foreign area code, the software starts to act and connects via a landline number to the server by Packet8. The server connects the telephone conversation with the other party over the VoIP network. Calls from the United States to Asia or Europe cost only a 2 to 5 US cents per minute more than the price of a local call. The American mobile operators normally charge up to three dollar minute. German companies like Running Mobile or Cellity offer similar solutions.

But the Israeli software has much more functions which the competitors lack and also Packet8 doesn't use. The program could also automatically decide to connect a phone call as a callback or over Wifi. Even VoIP calls over 3G will soon be possible, although all German mobile network operators seem to block them now I realized in some self-experiments. Mobilemax' software is a real miracle weapon for mobile VoIP and the handling is particularly pleasant, because no extra buttons have to be pressed. The software even senses in which country the user is and automatically chooses a local number for callthrough or callback. What a pity that consumers cannot have it. Mobilemax distributes the software only to companies. "We don't see ourselves providing the underlying service of the application and compete with our customers", said Mobilemax' Director of Business Development, Perry Nalevka, to me in an interview. The Packet8 customers pay $10 per month only to use it. In addition they get the VoIP telephone minutes billed.

Configuration also allows other VoIP flavours

Other companies want to follow the same business model, Nalevka said, which started as a one-touch-dialing solution for calling card users and roamers who had to use tens of access numbers, PINs and dial flows to make a call without being ripped off by the mobile operators. Six different service providers worldwide and several IPBX and enterprise mobility providers are now testing the software. So far several tens of thousands of licenses purchased.


Other companies who use it:

• Reliance - Indian provider launching in 8 countries soon.
• Gamma Telecom, UK - launched the Crosslink service targeting SMBs and enterprise users
• Tellink, Belgium - callback provider for SMBs and roamers
• Tel3, Miami FL - residential provider
• Boomering - SMB mobility & callback solutions for roamers
  

Today it supports the following configurations:

• Callthrough with PIN or PINless (CLI based).
• Roaming location based callthrough with multiple access numbers automatically selects the relevant access number according to the user's location.
• Seamless callback triggered by: DID, USSD, SMS, IP. The application triggers the callback, answers the incoming call and if needed sends the destination number.
• Dial around replacing prefixes in the dialed number (1010).
  

Further developments:

• Support additional phone models as they are released.
• Add new routes to seamlessly divert calls to: VoWIFI, Vo3G (to SIP or termination).
• Adding in-call Mobility features.

You can find more information about the software in Rich Tehrani's interview with Perry Nalevka: "MobileMax: Bullish on Fixed Mobile Convergence" (December 31, 2007).

Packet8 MobileTalk could be done much better

When Packet8 presented last week their service MobileTalk I was fascinated, but just for some seconds. Then I thought: What a lost opportunity! It could have been such a great application, if it 1.) hadn't such an expensive basic fee, 2.) wasn't bound to one particular VoIP provider and 3.) didn't work only in the US.

The press release explains very well how it works:

Packet8 MobileTalk utilizes a downloadable software application that can currently reside on any Windows, Palm or Symbian based mobile phone to seamlessly connect international calls from the mobile phone to the Packet8 digital VoIP network. Routing these calls over the Packet8 network enables cell phone users to significantly reduce their international phone bills and maintain high international voice quality while still enjoying the convenience and flexibility of mobile calling. [...]

With Packet8 MobileTalk, subscribers won't think twice about calling Europe or Asia because instead of $1.00 to $3.00 per minute, they will be paying as little as $.02 to $.05 per minute over the Packet8 network to most destinations. With more than 340 mobile phones from any cell phone carrier currently supported, the Packet8 MobileTalk service is a vital tool for mobile business professionals and consumers. [...]

Unlike calling card, callback and other reduced-rate international mobile calling services, which require the user to dial numerous key strokes in addition to their destination number or make their calls through cumbersome software applications, Packet8 MobileTalk users can dial calls directly and natively from their mobile handset, contact list or speed dial directory with no additional keystrokes - a significant advantage when, for example, placing a call while driving. Once the destination number is dialed or selected, the Packet8 MobileTalk software application identifies the international prefix being called and redirects the call to a local Packet8 network access number. With Packet8 MobileTalk, all calls are carried to the Packet8 network over the subscriber's existing cellular voice phone service and do not require access to an expensive monthly data plan or WiFi access point. [...]

There is a one-time $9.99 activation fee for the service and a monthly fee of $9.99 for non-Packet 8 subscribers. Existing Packet8 VoIP subscribers, including subscribers with one Packet8 MobileTalk account, pay a monthly service fee of $4.99. Packet8 MobileTalk overseas calls are billed at Packet8's low international rates which can be found at http://www.packet8.net/international_services/.

That's a quite expensive monthly rent for a small piece of software. Given that there are no calls included in the recurring fee of $9.99. On top you always have to pay the per minute price for the calls, which is e. g. $0.03 to a German landline. The several Betamax companies charge only half the price, $0.015, for the same service. Or the call is free, included for instance in Voipstunt's flatrate price of € 10.00 for 120 days (roughly equivalent to $ 13.40).

I guess that people who acquire Packet8 MobileTalk suffer very strong from dialing "numerous key strokes in addition to their destination number or make their calls through cumbersome software applications". If not, $9.99 is a rip off. Taking into account that other callthrough applications like Runningmobile's cost just €19.95 (about $30). But only one time, when you buy it.

Nevertheless the functionality of Packet8 Mobile Talk is quite smart and better than other "cumbersome software applications". Perry Nalevka is Director of Business Development at the Israeli company MobileMax, which developed the software for Packet8. He explains in a comment to Pat Phelan's regarding blog entry:

1) The application sits on in the background of the phone and allows the user to use their phone normally and dial from their address book or call log

2) Supports BlackBerry, Windows, Palm and Symbian phones currently. The Java will be ready next year.

3) Calls are “caught” and routed by pre-configured parameters. In the case of Packet8 any call that begins with “011″ or calls that begin with “+” that are not in the US.

Hopefully Nalevka doesn't break an NDA by telling that his company is behind Packet8's software. He mentions it also in Tom Keating's blog. So MobileTalk from Packet8 works similar to the Wifimobile application, which sits in the background of your cell phone and only kicks in when you dial an international number. Only that Wifimobile tries to establish the call over Wifi while Packet8 establishes the call over callthrough. The callthrough numbers are stored in the software, like it is at iSkoot.

Let's wait and see now when Wifimobile comes up with the same callthrough feature. They have already recognized that Wifi isn't everywhere and offer callthrough numbers in 12 countries. Much better than MobileTalk which works only in the US. Also at Wifimobile you pay only $15.99 per month and get unlimited calls to landlines in 40 countries. This feels much cheaper than Packet8's offer. The only point is that Wifimobile's application works only on Nokia smartphones and the nifty callthrough is not yet part of the software. Users still have to dial "numerous key strokes in addition to their destination number".

Which brings me to the point: Companies like Truphone, Gizmo Project, Wifimobile and the like should make callthrough numbers a part of their mobile applications to make them usable outside of Wifi.

Or couldn't Jajah strike an agreement with MobileMax and let them make a software which handles the Jajah Direct numbers? Last week they celebrated themselves for eliminating the need for computer to make Internet calls, only to present a system that's not less complicated: Now people have to dial numbers which are 24 digits long.

A similar case is Truphone: Their software does pretty much everything. It automatically updates the call forward when you insert a foreign SIM card in your cell phone while travelling. Couldn't it also hold some callthrough numbers? If the company doesn't want to set up their own numbers they could surely make an agreement with Sipbroker or Tpad. These VoIP companies have callthrough numbers in nearly every country of the world. The Truphone software could automatically "sense" which country's callthrough number to use, since it already uses a similar functionality to forward calls from Truphone number to local SIM card. If that's not so easy the Truphone software should have a button to choose the country.

Or maybe Tpad and Sipbroker should design their own callthrough softwares, a proposal I directly made in their forums. Tpad's answer from the forum admin:

I will definitely mention your idea to management, but early next year we are starting work on a Tpad Global Freephone Number (cant mention too much detail at the moment, but from what we have come up with so far it is looking pretty good).

We are aware of the German Running Mobile, but we will have to check the other sites out.

Thanks for your ideas, we respect what our forum members want and we will try our best to develope them.

A "Tpad Global Freephone Number"? Now that's even more tricky. It would address the downside of the Sipbroker which is explained in a comment to Pat Phelan's blog entry:

What would make more sense for a large player is to negotiate preferable rates for access through 00800 (international toll free) straight to their own VOIP switch. Going through sipbroker access numbers that are operated by dozens of different VOIP carriers would not lead to consistant QoS.

OK, so QoS fans should use their own numbers, although many people use the Sipbroker numbers without problems. In the forum of Sipbroker's mothership Voxalot we developed some interesting ideas.

Maybe Voxalot could design my "callthrough dream application"?

It holds all Sipbroker numbers, kicks in only when make an international call and let's me use my own VoIP providers - like a already do on Voxalot's all purpose VoIP PBX. People would always only pay a local call and the international part goes over the respective VoIP provider. The mobile application should always “sense” in which country the cell phone is situated and choose the local Sipbroker number to establish the call.

I am craving for a really comprehensive application: sitting in the background like Packet8 and always kicking in when I need it, automatically making use of the callthrough number of the country where I am. Be it Jajah's, Tpad's, Sipbroker's, Net2max' or whatever callthrough number. I am a client of all these companies anyway.

It should be a "callthrough consolidator", like Devicescape is a Wifi consolidator for mobile phones. Devicescape let's me consolidate all the Wifi hotspots for my mobile phone into just one virtual hotspot. The callthrough software should do the same with all these numbers. I would even make myself the work to copy all callthrough numbers into my account on a website. The way that I can copy all login data of different Wifi hotspots into my account on the Devicescape website. Devicescape knows them all. No hassle with Wifi configuration on my tiny phone keyboard.

Who can build a Devicescape for callthrough?

Maybe a guy from Poland, called Marek. But until now he has only sent me ideas that go in this direction. No downloadable application.