Skype launches free call promotion in US and Canada
Published May 15th, 2006
Skype, the Web telephone company, on Monday announced a marketing promotion that will allow its users in the United States and Canada to make free calls to conventional wireline and mobile phones.
Previously, users of Skype, a unit of online auctioneer eBay Inc., in both countries were required to pay for calls from their PCs to traditional telephones.
Skype is seeking to accelerate usage in the North American market, where adoption of its voice-over-Internet technology has lagged other regions of the globe.
The promotional offer, which extends through the end of 2006, covers calls within the United States and Canada. Calls from North America to conventional phones in other countries will incur charges. Skype already offers free calling to users worldwide who call from computer to computer.
The company counts more than 100 million registered users worldwide. It has reported peak usage of its services by up to 6.5 million customers simultaneously.
The offer is likely to put price pressure on rival voice-over-Internet phone service Vonage Holdings Corp., which is expected to go public later this month.
Although Vonage and Skype currently serve somewhat different markets — with Vonage acting as a full replacement service for traditional phones over Internet lines, and Skype considered by most as a complement to existing service — the free offer could siphon customers away from Vonage.
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