AOL Readies Internet Phone Service

[Jeff]

John Pallato, eWeek
March 8, 2005

SAN JOSE, Calif.—America Online Inc. will launch a voice-over-IP telephone service integrated with its instant messaging service to capitalize on burgeoning consumer interest in using the Internet as a low-cost phone service.

AOL CEO Jonathan Miller revealed his company's plans to get into the VOIP market Tuesday during his keynote address at the VON Spring 2005 conference here.

"AOL had decided that within the next month, [it] will launch an Internet phone product that will be a truly differentiated product, providing the quality and value and features that will lead toward a highly competitive offering and mass-market adoption," Miller said Tuesday in announcing the new service.

The phone service will use the familiar AOL Instant Messenger interface as the dashboard for making phone calls through a variety of devices, including PCs, wireless handsets, desktop Internet phones, or even old analog phones, AOL officials said Tuesday.

AOL is convinced that if it is going to offer a VOIP service, "it should be integrated with that buddy list that they work with every day," Miller said.


Source: eWeek