AOL taking “AIM” at Skype
Friday, May 5th, 2006 by PhillIn our last class we discussed current issues related to VOIP technology. Related to this, America Online recently announced plans to offer a Skype-like service to its AIM users. AIM has long had a feature which allowed users to “talk” to other users using the connections established by their messaging conversation. From personal experience I can say that “AIM Talk” is pretty worthless, especially compared to my positive encounters with Skype. This new “AIM Phoneline” will give AIM users an actual phone number which can be called like a regular number. Someone would dial the number, and the AIM user’s computer would ring, signifying an incoming call. AOL’s hope is that by giving this service away for free, they can lure users into signing up for the $14.95 a month subscription service which would allow calling outside phones from the computer. So incoming calls and the phone number are free, but outgoing calls will cost you. Skype offers “SkypeIn” which will hook you up with a phone number for around four dollars a month, and you get to pick your favorite number (if it is still available, of course). “SkypeOut” lets you make computer-to-landline/cell phone calls (you can also call internationally), and charges you by the minute. To make outgoing calls to US phones you’ll have to pay 2.1 cents a minute. For the AOL outgoing service to make sense, you’d have to talk online for almost 12 hours a month. The one advantage AOL has in this VOIP arms-race is the fact that they have around 61 million AIM users representing over half of the online chat market.
To me the Skype business model seems better, especially in an age where most people who have the internet also have cell phones, and would probably be unwilling to shell out another $14.95 a month on top of cell service and internet just to get the functionality of a phone from their computer. I know I sure wouldn’t pay for AIM Phoneline, but I have used SkypeOut to call internationally and it works pretty well.
Since this is my last post (and the last homework of my college career), I’d like to thank Prof. Felten along with everyone in the class for making this an enjoyable and interesting part of my week. Good luck with your finals…