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.

Finally Fring reveals how it wants to make money

Many people were wondering during the last two years how the Israeli mobile VoIP company Fringland Ltd. wants to make any money. Their versatile software works on virtually every platform and supports more than 1.000 mobile handsets. I heard that 200.000 new users sign up every month to Fring, as well as 80 companies which want to become a SIP affiliate. More than 500 SIP companies are already using the Israeli software as an easy to deploy solution for mobile VoIP, by sending a preconfigured Fring to their users' handsets or telling their customers how to use it. Fring invested heavily in software development and has to channel the other 500 companies' traffic over its own servers. Every voice connection goes first from the cellphone to Fring's servers, no matter if it's on Skype, SIP or Google Talk. Fring could take its share from the other companies' earnings, but hey do it for free. Also there is no paid version of Fring. All these business ideas are still in the cloud.

So how does Fring want to make money?

The cell phone multi messenger, which also serves perfectly for nearly free VoIP calls over 3G, should soon be sponsored by advertising. At the OSiM World conference in Berlin I saw an unreleased software version with banner ads for McDonald's in Fring's chat window. In a former occassion I could already see advertising by Gillette. The Israeli company with $20 million in venture capital seems to finally care now for revenue streams. Although CEO Avi Shechter had told me in February in an interview at Barcelona's Mobile World Congress that the entire year of 2008 would be dedicated exclusively to software development and revenues would be irrelevant. "The McDonald's banner ads are just a demonstration", said Fring's cofounder Boaz Zilberman when we met in Berlin. So until now Fring makes no money from advertising but is proving the concept.

Fring with McDonald's banner ad on a Nokia N95 8 GB | Foto: Markus Göbel

One problem is, says Boaz, that mobile advertising is not very common yet. The advertisers still don't understand it and therefore employ only small budgets. But these small budgets would be eaten up immediately on the millions of daily Fring messages. That's why the company is going for bigger clients and advertising networks like Doubleclick or others. Context sensitive advertising like at Google Mail is not on the agenda. "We would have to read every chat message", says Boaz. "But we don't want that because it would hurt our users' trust." The business model of another Israeli born company seems creepy: Pudding Media is even eavesdropping their users' conversations to deliver targeted advertising at the computer screen during the phone calls.

Fring is now developing from a sole software for messaging and VoIP to an universal contact solution, which even keeps track of your buddies' location by GPS. The latest version 3.36.6, which you can only download from Fring's developer website, has already joined the menus for messengers and social networks. The boundaries between these categories are every time more blurry, because for instance Facebook is also an instant messenger now. In future software versions, every person should appear only once in Fring's contact list. Until now some people appear twofold, threefold or even more times - because they are connected to Skype, MSN, ICQ or other services at the same time. One click at the buddy's icon will start a chat, no matter which messenger to other person is using, which can always be escalated into a Fring phone call via VoIP.

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.

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.

Tpad has cleaned out dormant accounts although they were in use

One of the most reliable VoIP services I know is Tpad. Not only that it worked flawlessly for more than one year, they even credited $10 to my account when I found an error this weekend. Needless to say that Tpad never got any money from me penny pincher, because I use their service only to receive calls.

Long before Jajah Direct, Wifimobile or Gizmocall started similar services, Tpad already had break-in numbers in 39 countries. It's an entire callthrough system: You can dial whichever of these 79 numbers and the number of my Tpad account to reach me for the price of a local call. That's much more reliable than the other services, which depend on the Caller ID to connect the call. In poor countries with bad networks this Caller ID often cannot be transmitted for technical glitches. I am permanently connected to Tpad with my SIP ATA so that my Peruvian friends in Lima can always call me for the price of a local call.

Today it's more than one year that I started to write about Tpad and I have used it since then. But some days ago I realized that my SIP devices could not connect to the Tpad server anymore. Not from my ATA, not from Voxalot, not from a Nokia E61, not from a Nokia N810. Other German friends had the same problem. What was wrong? I asked in their forum and learned that Tpad had cancelled my account because they thought I didn't use it anymore:

Tpad performed a cleanup of "dormant" accounts, without remembering that call records are only captured for calls that use the Tpad softphone. Since you use Tpad exclusively from an ATA or non-Tpad softphone, your call activity is not remembered. So, it is very likely that your account was improperly considered dormant and was suspended. Tpad should be able to restore it for you pretty quickly.

What really impressed me was that the forum admin immediately wrote "Send me a PM of your Tpad Number(s) and we will fix asap". What a difference to other VoIP services! His answer, apology and $10 to my account arrived the same Saturday. On Sunday they fixed the problem. What a great service!

I think I should charge some money to my Tpad account as a gesture of gratefulness. If only it was necessary! With $10 I can call for more than ten hours to Germany and this credit never expires. That's another big difference of Tpad to other VoIP companies.

To make money from mobile VoIP, companies have to accept certain realities

Jon Arnold has updated his very interesting portal website IP Convergence TV. This time I also wrote a guest opinion, because to make money from mobile VoIP companies have to accept certain realities: "WiFi isn't everywhere and callback costs double".

I love the mobile use of VoIP but I still find it quite uncomfortable. That's what I point out. Especially annoying is how Skype, Fring, Truphone and other SIP based VoIP services get blocked by German 3G providers. Sorry, Dean Bubley from Disruptive Analysys! The reality looks much darker for VoIPo3G than you predict for the future. (But thanks for your regular Google ads "3G mobile Voice over IP. Analyst report: is it a threat to carriers? Or a future opportunity?". I better put a direct link to your website.)

Mobile VoIP over Wifi works only at home or in the office where I don't need it. So in my guest opinion I advocate intelligent cell phone software which automatically completes calls as callback, callthrough, Vo3G or VoWifi while the user doesn't even notice. I have already installed an example software on a Nokia E61.

Maybe if more and more people use these options, Dean's dream will come true. If everyone uses only mobile callthrough, triggered by intelligent software on the handset, the mobile network operators cannot charge any other items than the tariff's included minutes for local calls. Their voice legacy cell phone networks would become dumb pipes into the internet, the way we already see it with the 3Skypephone or iSkoot, Ringfree, Mobivox, Jajah Direct, Sipbroker, Tpad, Rebtel, Mobiletalk, etc. If mobile operators wanted to charge for international calls at all, they would have to embrace VoIPo3G and could at least charge for data, the way Dean predicts it.

But until this comes true, the mobile VoIP companies should attack the incumbents with better callthrough options, to take more and more cell phone calls out of the traditional networks and into IP. Read the full text for further explanations!

A SIP address for Skype? Better the other way around!

There is a much quoted explanation from Emoci of Toronto how to create a SIP address that will ring to your Skype name using the Net2Max.com service. It's quite difficult to implement but has received many kudos.

I like these kinds of solutions very much, but I would prefer it the other way around: that Skype rings my SIP address. So I would never have to switch on Skype again. I have all my SIP accounts nicely consolidated to ring my phone or my cell phone. I could do the same with Google Talk, Yahoo and MSN. Only on Skype I am nearly never reachable because I don't like communications that force me to switch my computer on. That's why Skype is Oldschool to me. VoIP has left the PC world long ago and goes along with me.

Mr Blog, David Beckemeyer, thinks the same:

I couldn't agree more, particularly "So I would never have to switch on Skype again." Why doesn't Skype simply offer a 'forward to my SIP address' option? Of course we know why. They want to keep everyone contained in their world. They say it's because Skype users don't want interoperability - if you are a Skype user, maybe it's time to tell them, not me. I agree with you! :)

That reminds me of the recent discussion started by Dan York: "Skype says "No" to VoIP interoperability - *because customers aren't asking for it!* - Well, I am!".

Me too. As well as Martyn Davies and the commentators to his post at VoIP User.

Ringfree brings VoIP callthrough with every provider to the iPhone

In the last weeks I was displeased with the state of VoIP on mobile handsets. Wifi coverage is spotty and callback services like Jajah require two phone calls at the same time, which makes them too expensive for penny pinchers like me. That's why I am a fan of callthrough applications which involve only one call leg. The call goes to a local number where a server converts it into a VoIP call. But unfortunately this needs numerous key strokes in addition to the destination number and makes callthrough a cumbersome activity.

Software like MobileTalk from Packet8 would help, but it is bound to just one VoIP provider and could be done much better. Unfortunately the underlying software from Mobilemax gets distributed only to companies and not to end users. So people have to wait until their VoIP provider of choice implements it.

But salvation is near, at least for iPhone users: RingFree let's you use every VoIP provider or even your own Asterisk / SIP server for outbound calls on Apple's "Invention of the year 2007" (according to Time Magazine). iPhone Atlas has the story:

Here, in a nutshell, is how the app works: A user registers with RingFree, entering his iPhone number and providing some other information. The user is then prompted to call a country-local number to confirm their information by entering a PIN. Once logged into the site, the user selects from a list of pre-defined VoIP providers (including VoicePulse, Gizmo Project, PhoneGnome and others) or defines his own by entering a proxy address, username and password.

After selecting or defining a provider, the user can access the Web app’s keypad, which looks something like the iPhone’s standard dialer, selects the preferred VoIP provider from a menu, and hits “Call.” The call sends a bit of JavaScript over EDGE to retrieve a local number from the VoIP provider, which the user is prompted to dial with the iPhone’s native phone application. When this number is dialed, the VoIP provider is triggered to dial the number entered in the Web app, and the call goes through.

RingFree is basically a website with a virtual dialer. It is linked to VoIP providers of choice and uses standard voice minutes to make VoIP calls. Therefore it doesn’t require any hacking or jailbreaking, nor does it require the presence of a WiFi network. Only a small amount of data is transferred over the EDGE network to signalize the call. The voice quality is reportedly good, and calls go through without too much delay so that a commentator at IntoMobile states:

Thank you for this. This is the most useful iPhone application yet. I set it up in less than 2 minutes and I made a call to Ireland using Gizmo Project. Sweet and simple. I am happy and would be jumping up and down with joy if it let me call Skypers.

That's exactly what I was looking for. RingFree is free in the first month, then it costs $30/year. You can also call Google Talk, Yahoo or MSN contacts from the iPhone. I wonder when someone will launch a similar service for other platforms, such as Symbian. It could be a great new feature for Voxalot, whose mobile callback I often use with my own VoIP providers. It costs €0.01 of data or less to establish the call, but still it demands two simultaneous phone calls.

Voxalot's Facebook application for really free phone calls

You know that I bashed Facebook very hard for being a terrible time sucker. Many Web 2.0 applications need too much attention, compared to their value. But there are some utilizations that make me smile, because the unleash the potential of Web 2.0 without wasting my precious time and money. Like Voxalot's latest Facebook application, VoxCall for Facebook, that really disrupts telecommunications. It let's me make free phone calls without touching the PSTN. Read the announcement:

On Monday 19th Nov 2007 Voxalot will be officially launching our new social communications application for Facebook called VoxCall.

VoxCall is an exciting new initiative from Voxalot that allows Facebook users to click on their friends and initiate phone calls. The beauty of VoxCall is that it is self-organising in that if your VoxCall friend changes their contact phone number, you don't even have to be notified... VoxCall will use whatever number they have registered.

VoxCall also offers both public and private chat rooms where VoxCall friends can get together for a group discussion.

The underlying technology that VoxCall uses to connect calls is Voice over IP addresses (often known as SIP URIs). When you add the VoxCall application, you will be prompted to enter your SIP URI. To ensure that you are the rightful owner of that number, VoxCall will display a PIN number on the screen and then call the number you entered. Your phone will ring and you will be prompted to enter the PIN, which is validated.

As such, VoxCall supports calls between friends that belong to *any* "open" voice network (not just Voxalot).

The beauty is that VoxCall uses VoIP without touching the PSTN. My buddies just enter their SIP URI and I can call them with just one click in Facebook. When they change their SIP address I don't have to bother to update my data since their Facebook button stays the same. We stay connected for free from SIP to SIP.

I find this much more nifty than the Facebook apps from Jajah, Jangl, Jaxtr, Rebtel, IVR Technologies, iotum, Sitófono or Grandcentral. They also connect people on Facebook and let them call me for free, in most cases. But there is always a telephone number involved, so that someone has to pay an incumbent telco which provides them.