Buzz
Both Skype and Vonage are VoIP services that allow users to make phone calls through the internet.The internet itself can be seen as a contradiction. While accessing it usually requires a financial investment, once you're online, it can help you save money. Whether you're shopping for deals on electronics, booking cheaper flights, or sending emails, pictures, music, and videos at no cost, the internet offers many opportunities for savings. With Voice over IP (VoIP) services, you can make phone calls—whether local or international—without spending any extra money.
There are several VoIP services available today, but Skype and Vonage stand out as the most popular. Despite both utilizing VoIP technology, they differ significantly in their approach. In this article, we'll examine how each service works and provide the details you need to determine which one suits your needs.
Skype and Vonage share similarities in that they both utilize VoIP technology. When making a VoIP call, you can use your computer's built-in microphone and speakers, a headset, an IP phone, or even a traditional phone connected to an analog telephone adapter. This equipment, combined with your computer, converts the analog sound of your voice into a digital signal, which travels across the internet. Upon reaching its destination, the signal is converted back into analog sound on the receiving device. For more information on this process, check out 'How Voice over IP Works' to understand the difference from traditional phone services (POTS).
Voice over IP (VoIP) utilizes packet switching to transmit calls over the internet.
Skype and Vonage are also alike in that they can be far more affordable than traditional phone services, especially if you make frequent long-distance calls. Skype can even be completely free, depending on how you use it. However, despite these similarities, there are more differences than similarities, starting with the account setup process.
While Skype and Vonage differ in both hardware and software, they also have notable differences in their underlying technologies. Skype operates on a peer-to-peer network, similar to KaZaA, and employs a proprietary protocol. Interestingly, the developers of KaZaA also created Skype. Skype secures its calls with 256-bit Advanced Encryption Standard (AES) encryption. Vonage, in contrast, does not use peer-to-peer technology and relies on the Session Initiation Protocol (SIP) for handling call data. Additionally, Vonage does not seem to use encryption for call data.
Creating a Skype Account
Starting a Skype account is easy: simply visit the Skype homepage, click on "Download Now" to download the free software, and install the Skype soft phone client, which comes with an on-screen keypad to make calls.
Once the program is installed, the Skype Getting Started wizard will guide you through adding contacts, making calls, and importing contact information from your address book. If you haven't already registered for an account on the Skype website, you can easily follow a link from the program to create your username and password.
The Skype application operates similarly to an instant messaging (IM) client. Like an IM client, you can adjust your online status, view your contact list, and select who you want to communicate with. To use these features and make calls, your computer must be powered on, connected to the internet, and the Skype app must be running.
Calls to other Skype users are free, and outbound calls to traditional phone numbers were also free until the end of 2006. Starting January 1, 2007, using Skype to call landlines or cell phones will cost $29.95 per year (calls between Skype users will remain free). To receive incoming calls from regular phones, you must purchase Skype Credit and subscribe to the SkypeIn service.
The process of setting up a Skype account is quite different from starting with Vonage. While creating a Skype account is similar to signing up for an IM service, setting up Vonage is more akin to subscribing to a new internet service provider (ISP). You sign up for Vonage via their website, but instead of downloading a program, you complete an online form to set up your account. Unlike Skype,
Vonage is not a free service.
The Vonage sign-up process involves several steps, including:
- Choosing a service plan (with prices starting at approximately $14.99 per month)
- Deciding whether to keep your current phone number or obtain a new one
- Selecting the necessary equipment to access the service
- Providing your name, address, and phone number for emergency 911 purposes
Vonage Services
The Vonage control panel.Unlike Skype, which typically doesn’t require additional equipment, Vonage necessitates specialized hardware to function. You can opt for an Ethernet router that comes with a built-in telephone adapter, which is free after a rebate, or choose from various other adapters, routers, and phones. Another choice is to modify the phone wiring in your home, allowing you to use regular phones plugged into your phone jacks. However, this option is best suited for homeowners with no shared walls or wiring with neighbors. Finally, you can use a soft phone client similar to Skype's, but this is an additional service, not included in the standard package.
Once you create a Vonage account, you can access a Web interface to view your call history and adjust your account settings. This online guided tour will provide you with a clear overview of the options available for online changes or additions.
After completing your sign-up, Vonage will send you the adapter or other necessary equipment. Unless you opt for professional installation, you’ll need to set it up yourself. The specific steps depend on the equipment you choose and your existing home setup. Detailed instructions are included, and the installation process is generally straightforward. Before you begin, make sure to record the settings for your Internet service provider (ISP).
The author used a Linksys WRTP54G wireless router to set up Vonage service.
The Linksys WRTP54G features a port for connecting to the Internet, two phone ports, and four Ethernet ports.Skype and Vonage differ significantly in the type of equipment required and the costs involved. Additionally, they use different methods for making and receiving calls, which we will explore further in the next section.
A major difference between Skype and Vonage is their ability to dial 911. Skype is not designed to replace your home phone, but rather to complement it. One important reason you should not rely solely on Skype for your phone service is that it does not support dialing 911.
Vonage, however, does have 911 capabilities, though it is not automatically enabled. You must activate the feature to make emergency calls. Not all Vonage users have access to E911, which allows your name and address to be sent to the public safety answering point (PSAP) when dialing 911. Additionally, because Vonage relies on the Internet and usually requires a powered router, you won’t be able to place 911 calls if your Internet or power goes down. As of March 30, 2006, approximately 70 percent of Vonage users had E911 access.
Making Calls with Skype and Vonage
Placing a call with Skype.After setting up Skype and Vonage, we tested both services by making a few calls. The Skype soft phone includes a contact named "echo1234" for testing purposes. Once you've installed Skype and logged into your account, you can dial echo1234 to confirm that everything is functioning properly. If everything is correct, you’ll hear a recording instructing you to leave a short message, which will be played back to you.
Answering a Skype call is very similar to receiving an instant message. The program will play a ringtone and display an icon to alert you of an incoming call. If the call is from another Skype user, the program will show the caller's information. You can then choose whether to accept the call.
To compare the performance of both services, we dialed the same number using both Skype and Vonage. We took advantage of the free long-distance calling feature and rang up They Might Be Giants' Dial-a-Song line. To place the call with Skype, we had to add the "+" symbol (which is necessary for calling traditional phone numbers), and then we dialed the rest of the number as we would on a regular landline.
Our attempt went through, but unfortunately, Dial-a-Song wasn’t working correctly—we heard a loud screech instead of a song. Additionally, since we were using the built-in speaker and microphone on a laptop, the sound quality was slightly off. Using a headset, WiFi phone, or phone adapter can greatly improve the audio quality.
Making and receiving calls with Vonage is just like using a cell phone or landline. When we placed a call to Dial-a-Song using Vonage, everything worked as expected, but the Dial-a-Song service itself was still malfunctioning.
A common concern with VoIP services is whether their sound quality matches traditional phone service. When we used Vonage, the quality difference was similar to the difference between MP3s and CDs. With Skype, the built-in speaker and microphone caused some distortion, but overall, it was still quite good for a free service.
The quality of the Internet connection and the equipment used to make and receive calls can significantly affect the call quality in any VoIP service. If the data packets carrying the call are delayed or lost, the call can become distorted, or parts of the conversation might be missing. Some users also experience echoes in their VoIP calls, although we did not encounter this issue during our test calls.
Choosing whether VoIP is the right fit for you depends mostly on whether you still need a traditional phone line and how frequently you make long-distance calls. The decision between Skype and Vonage largely depends on what you intend to use the service for. If you’re looking to replace your home phone line, Vonage or another full-service VoIP option could be a great fit. Skype, however, is ideal if you want to make free calls to friends and family as an addition to your current phone plan. It’s particularly useful if the people you want to call also use Skype.
As of April 2006, 100 million people had downloaded Skype, while Vonage had 1.6 million subscribers.
