EarthLink targets cellphones with Wi-Fi phone initiative

EarthLink Inc. announced the start of its Wi-Fi phone initiative, a move that puts the Internet service provider directly up against wireless and wireline carriers as well as Voice over IP vendors.
“What separates our Wi-Fi phone from others is its ability to work over EarthLink’s municipal Wi-Fi networks,” said Steve Howe, EarthLink’s senior vice president of voice. “This means that EarthLink is now bringing cheap phone calls using the Internet to the world of mobile. We expect that many people who use cellphones today in our municipal Wi-Fi markets will want to switch to a Wi-Fi phone to take advantage of the significant cost savings.”
EarthLink said Accton Technology Corp. will build Wi-Fi phones for the business, and that the companies have already begun testing the offering on EarthLink’s municipal wireless network in Anaheim, Calif.
The Wi-Fi phone costs $100, and the service is available in two tiers: $15 per month for 500 anytime outbound domestic minutes and unlimited inbound minutes, or $25 for unlimited domestic calling.
EarthLink, which made its name in the dial-up Internet access business, is working to expand its offerings into a variety of businesses. The company offers wireless products through its resale agreements, and has been very aggressive in scoring muni Wi-Fi infrastructure contracts. The company’s Wi-Fi phone effort stands as its latest move to become a total communications provider-the company’s stated goal.