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Since I don't like linking to sites that require registration, I found another copy of the story at a more reader-friendly site.

If this article is to be believed, Skype would appear to offer exceptional value and incredibly low cost-calling to those who are prepared to use their PC and internet connection for such things. As I suggested in a previous column, I bet Telecom are aware of the threat that this type of service represents to their core business and that's why they've deliberately reserved the right to screw with latency times on the JetSurf and UBS services.

By making sure that JS/UBS isn't a "realtime" connection, Telecom is then quite within their rights to mess around with things behind the scenes so as to significantly disrupt the performance of software such as Skype and other VOIP packages.

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It says a lot for Telecom's paranoia and fear of losing revenue to the march of technology that you don't see many other DSL providers overseas including such provisions in their customer-contracts.

If there are any Aardvark readers who are actively using Skype (and I know there are more than a few of you), why not share those experiences with the rest of us in the Aardvark Forums.

To be quite honest, I think that the days of paying extra for long-distance calling are drawing to an end.

If Skype is as easy to install and use as is claimed and if their PSTN dial-out facility can cope, then I can't see why a very significant percentage of people won't simply turn on their PC to make a toll-call.

Perhaps the key to this will be when a mass-produced "cyberphone" peripheral becomes widely available through regular home-appliance retailers.

While there have been an number of attempts to market IP-based telephones that simply plug straight into an ethernet connection, none of them have come close to the level of success that Skype is presently enjoying.

I see that Skype offers a USB-connected phone-like handpiece for use with their service -- but I think what's really needed to bring this thing into the "average" home is something that looks like a regular phone but can be plugged straight into a DSL modem/router.

Skype have been smart insomuch as they've lowered the barrier to entry for their service to nothing more than a software download. This means that they're acquiring a massive user-base and that user-base is the key to their success.

Even with a PSTN dial-out facility, a VOIP network is a bit of a chicken and egg situation. You can't get people to spend money until you can assure them that the people they want to talk to are also online.

The free downloads means that anyone with a PC and a broadband connection can be online -- now if they roll out the stand-alone IP-phone device for a reasonable price, they'll also be able to sell to the computer-phobics.

To be quite honest, I'd rather have a dedicated IP-phone appliance than have to leave my PC on 24/7 just to receive a VOIP call. If such a device were just a couple of hundred dollars then I'd buy one in a flash and use it exclusively for all my long-distance calling.

If you can find a low-latency wireless ISP service then you could ditch Telecom all together and save even more $.

Watch out for Skype -- if they play their cards right, they could be a very major force in the communications marketplace very shortly.

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