Beware the Skype-iPhone hype-fest

Beware the Skype-iPhone hype-fest

Summary: There’s a battle heating up in the burgeoning voice-over-wifi (VoW) space.On the one hand you have Skype, which has just launched its eponymous app for the iPhone and, despite the almost audible gnashing of teeth from the mobile operators, has reportedly become a hugely popular app for the Jesus phone.

TOPICS: Networking

There’s a battle heating up in the burgeoning voice-over-wifi (VoW) space.

On the one hand you have Skype, which has just launched its eponymous app for the iPhone and, despite the almost audible gnashing of teeth from the mobile operators, has reportedly become a hugely popular app for the Jesus phone. Skype is claiming that it’s had a million downloads in two days, and that’s the top download in the App Store. If true, that’s big.

Gnashing of teeth? It’s all about conflict of interest. Skype takes voice traffic and routes it over a Wi-Fi hotspot, or your home or office Wi-Fi network. The mobile operators make no money out of voice over Wi-Fi: they make money out of voice calls and data traffic routed over their cellular networks.

And that’s the attraction of Skype for end users, and why mobile operators have dragged their feet over the years. Many mobile operator contracts include a phrase that explicitly forbids users from using VoIP applications, for just this reason.

Yet over recent months, some operators have relaxed this stipulation in the face of vociferous end-user protests, via both their wallets and by the generation of poor publicity. End users want no limits on what they can do with their devices and data feeds, while operators want a walled garden that constricts end user choices to those that generate revenue -- but they’d still rather have some of your business than none of it.

As a result, Skype is likely to become accepted across all networks. So what’s the conflict I mentioned at the top of this story? There’s another VoW player in the mobile space, namely Truphone.

This company’s been around for a while but its business model differs from Skype’s in that Truphone reckons its service ‘provides Skype calls outside of Wi-Fi on the iPhone’.

Close, but not quite true: it provides voice over Wi-Fi and cellular networks -- not Skype calls. As you’ll know, Skype’s a proprietary system, only Skype knows how it works, so only Skype applications can use it.

As an aside, it’s interesting though, in that it’s the first time I’ve seen the word ‘Skype’ used generically to mean voice over Wi-Fi -- maybe I need to get out more.

That issue aside, Truphone’s system allows you to make calls when not in Wi-Fi coverage by routing the first leg of the call over the mobile network -- just like a standard call, says Truphone, -- and then running the call from there over Truphone's own network.

The advantage here is that the mobile network’s coverage is always going to better than that of Wi-Fi, a technology whose coverage is measured in metres, not kilometres like the cellular networks.

Is it important? When you compare the hype-fest surrounding Skype to Truphone, possibly not.

Truphone’s is also a paid-for service, not free like Skype’s. But if you want coverage wherever you go and don’t want to pay the extortionate prices charged by mobile operators for calls outside the UK, Truphone is a viable alternative.

The moral? Beware hype-fests: like that surrounding the iPhone, glitz often wallpapers over a multitude of shortfalls. -- Update: Oops: obviously I do need to get out more! I’m informed by Truphone that it does provide Skype calls and that it’s the only service using Skype’s network to allow you to call IM buddies. And like Skype, Truphone to Truphone calls are free until you traverse an operator’s network at which point charges can apply. Apologies for the mis-information.

Topic: Networking

Manek Dubash

About Manek Dubash

Editor, journalist, analyst, presenter and blogger.

As well as blogging and writing news & features here on ZDNet, I work as a cloud analyst with STL Partners, and write for a number of other news and feature sites.

I also provide research and analysis services, video and audio production, white papers, event photography, voiceovers, event moderation, you name it...

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An IT journalist for 25+ years, I worked for Ziff-Davis UK for almost 10 years on PC Magazine, reaching editor-in-chief. Before that, I worked for a number of other business & technology publications and was published in national and international titles.

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  • Beware the Skype-iPhone hype-fest

    I was rather enjoying this post until I got further down the article where it starts to quote a variety of errors and inaccuracies in its description of the Truphone service.

    I tried contacting Marek shortly after he posted this blog entry in an attempt to get him to rectify the inaccuracies and he said he would, but 72 hours later no action has been taken so I feel compelled to post a response that highlights the errors in this column.

    Firstly, Truphone does indeed provide Skype calls. We provide the ability to IM and call several IM communities, including Skype. Marek is correct in that Skype has a proprietary system, but that does not prevent other companies from using it. You will find that Fring and Nimbuzz also provide the ability to contact Skype buddies from their iPhone applications, although I believe Truphone is the only one to allow you to call them.

    Therefore, we have not referred to Voice over Wi-Fi as Skype calls. They are Skype calls - fact. We also allow free calls to other Truphone users, and cheap calls to landlines and mobiles around the world. Additionally, with Truphone you can also call (for free) Google Talk contacts, as well as IM Google Talk, Skype, AIM, MSN Messenger and Yahoo! Messenger.

    Truphone charges in exactly the same way as Skype. The application is free to download. Truphone to Truphone calls over Wi-Fi are free, as are calls and IM to other communities as mentioned above - Skype, Google Talk, AIM, MSN Messenger and Yahoo! Messenger.

    The only cost incurred is when you make the call out of Wi-Fi when you will be charged a local call rate (often covered in the bundled minutes within your operator contract), and then the rest of the call is taken over the Truphone network and you are charged appropriately (as outlined above).

    We charge for calls to landlines and mobile phones around the world at very competitive rates, in a very similar fashion to a SkypeOUT call.

    I have offered Marek the opportunity to try Truphone as it appears that he has written this post without actually trying the service first. He is yet to take me up on the offer but am happy to post here again if this changes.
  • Beware the Skype-iPhone hype-fest

    Matt: You didn't read far enough. You'll find the correction in a paragraph at the end of the column, which I amended within minutes of receiving your comments. This paragraph address the substantive points you make. I feel it's more transparent and honest to readers if you correct this way rather than change the body copy.

    My name is Manek (not Marek).
    Manek Dubash