Voip Comparison

why does the VOIP providers give cheaper services as compared to a normal telephone service provider?

voip business...ppl give their phones at a cheaper rate why??? maintenance or the intial startup costs or the operational costs are less????

Public Comments

1. Let's say that you own a phone company. You provide the telephone poles. You provide the wiring. You provide the switching stations. You provide the telephone. You provide in-house maintenance. You print the PHONE BOOK. Now, let's say that you are a VOIP provider. You provide the software. You provide the connection to the phone system... YOU MAKE THE MONEY on the telephone company's work. You are cheaper and you are KICKING BUTT on the telephone company's former success. BUT, the VOIP company can only sell to people that already have high speed internet. VOIP companies do not maintain any wires or telephones. So only smart people can use your service. Some VOIP companies provide the Telephone adapter kit, like Vonage, so the have to charge more than Skype. I have had Vonage now for 2 years... it is totally awesome.
2. I had Vonage. See the catch is you pay the initial dollars for the equipment. which also turns your computer into a wireless router. But in anycase, you are already paying for high speed cable internet (DSL), which includes all of the taxes and every other surcharge they add to your bill. So all you are really paying for is a phone number and connection between their service and your DSL connection. Its really a great thing as long as you can afford the DSL you are in good as gold. I hope this helps. Vonage is great.