The VoIP market in the U.S. is growing albeit slowly. Yankee Group estimates that there will be 1 million VoIP users in the U.S. by the end of 2004, up from 131,000 in December 2003. Lowering costs may be the number one reason for the growth.
According to the Boston Globe:
Old-line phone giants like AT&T Corp. and Verizon Communications Inc., cable TV companies, and start-ups like Vonage have stormed into the market in recent months.
But all projections indicate that by decade's end, Internet phone plans will still lag far behind the 100 million-plus regular US phone lines.
What sells Internet calling more than anything else are unlimited domestic phone calls for $30 or $35 a month, and international rates such as 3 cents a minute to London and Rome and 4 cents to Tokyo.
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