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Skype's the Limit
Those pennies you save on long-distance calls can add up quickly.
Posted by : Matt Lake

I'm thinking of a number between thirty and a hundred. Can you guess what it is? Need a clue?

It's the number of dollars my business line costs me every month. Anybody care to hazard a guess? Darn. I was hoping someone could tell me, because I have no idea. I dragged in a second phone line into my home a decade ago to handle all my business calls, and I've been paying for it ever since.

Looking back over my papers, I can see that the number was never less than $38 a month including and taxes. On months with lots of long-distance calls, that number can almost double.

I've not been happy with my phone service for a couple of years now. It hemorrhages money as it is, and to get features I could really use, such as call forwarding and conferencing, it would cost even more. That's just not good enough.

What I'd really like to do is get a voice-over-IP (VoIP) account that uses my broadband Internet connection to make calls, then and port my business phone number over to it. The drawback to that little scheme, according to my local Verizon office, is that my DSL Internet access is on my business phone line. It's technically possible to uncouple DSL from my phone number (it's called "naked DSL" or "dry loop DSL"), but not in my neighborhood, they say. I'm not ready to abandon my DSL account yet, and I'm certainly not going to change my business phone number.

Cheap Calls on a $600 Phone

So I was in the market for a versatile and cheap phone solution I can use for long-distance. The target number here was 4. With my current long-distance plan, I spend 5 cents a minute on my long-distance calls, more when I dial Europe, and I wanted to beat that by at least a cent. I halved my current rate at Skype.com by downloading their software and using my computer as a giant multipurpose phone.

Skype software comes in Windows, Mac, Linux, and Pocket PC flavors and uses whatever microphone or headphone combo you have plugged into it. Alternatively, you could use your notebook's built-in mic and speakers an ersatz speakerphone.

To make Skype-to-phone calls, you buy blocks of $10 credits that you use up at a rate of 2.1 cents per minute on calls to the 48 contiguous United States, Canada, most of Europe, Hong Kong, China ... and a whole mess of other countries. Better yet, Skype tracks your calls as you make them, ready to export to CSV file so you can track your phone usage for billing or tax purposes.

I'd heard that my cheap second-tier DSL account didn't have the bandwidth to handle VOIP, but I've spent the past two days talking myself ragged over my Skype account, hearing pins drop at the other end of the line, and having callers have commented on how clear the line is.

I don't know that Skype's actual quality are better than Verizon's dedicated phone line, but clearly, a cheap desktop phone is no match for the gooseneck microphone and Labtec headphones hooked up to my PC.

Call my Local Office

An hour after scattershot calling on Skype, flushed with success, I set up a new phone number for myself in Europe, so my clients and colleagues out there can call me on a local number. I've got that new number for $38 too, but that's good for an entire year.

After sending out an e-mail announcement, I started getting calls from people whose voices I hadn't heard in years. There's nothing like a local number to get your cash-strapped friends picking up a phone. In fact, I missed a few calls, but Skype's voicemail picked them up and gave them ten minutes to say their piece.

The SkypeIn service, which gives out the phone numbers, is currently in beta, but in my hours-long, multiple-call test, it's proved pretty stable. The only problem is that telephonically speaking, I'm not actually making outgoing calls from my incoming number.

This means that cell phone users or those with caller ID will see a bogus number for incoming calls--and may not be inclined to pick up for 0000123456. But outgoing number blocking is common enough on landline phones too, so you can't really lay that problem at Skype's feet.

So, anytime you're in the middle of England, feel free to give me a call. It's a local number for you. But I could be anywhere with a broadband connection when I pick up. And you'll be able to hear a pin drop at my end. I've been dropping a lot of pins lately ... but not a lot of pennies.

Contributing Editor Matt Lake writes SOHO Advisor monthly for ComputerUser.

 
 
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