Vodafone Germany is launching a mobile VoIP service using WiFi that expands the reach of the cellular service indoors and removes international roaming fees. The converging of the WiFi and Cellular service makes Vodafone the first major carrier to embrace mobile VoIP in Europe. Vodafone is a 45 percent owner of Verizon Wireless and is the world's largest operator by turnover.
The move to use WiFi to expand the footprint of the service follows a similar announcement by German-owned T-Mobile to offer WiFi coverage in homes of their U.S. customers. T-Mobile customers can talk on this service to anyone in the U.S. for a very competitive $10 a month.
Cellular operators have been predicted to embrace mobile VoIP for several years. But the technology was largely resisted by operators because of concerns it would cannibalize their profitable cellular plays. The move by the industry leader to begin using VoIP represents a significant new development and comes as several start-ups have begun promoting new VoIP calling widgets for smartphones.
The current 3G networks are generally considered not ready to provide a quality VoIP service, but the transition to super-fast 4G networks is likely to herald a rapid switch to data-based calling. Most of the cellular players are looking to adopt LTE platforms with timing still up in the air, but around 2011. Sprint may move sooner and adopt WiMAX as its 4G platform.
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