jeremy wrote:

> What is so bad with $25.00/month? Vonage's customers leave, according to
> industry reports, because they are unhappy with the call quality, not
> because of price.

$25 is more than what most people spend for their land line and long
distance combined. Remember, a great deal of long distance is now done
on off-peak or mobile to mobile cell phone minutes. Not free, but
included at no extra cost.

If someone really was cost sensitive and did a great deal of long
distance calling, then they'd choose a less expensive, and more capable
VOIP provider than Vonage.

Vonage ends up with a very small target market: people that make a lot
of long distance calls, have expensive landline service (every extra
feature on their landline such as call-waiting, caller-ID, three-way
calling, etc.), AND that believe the Vonage ads, rather than doing any
research prior to purchasing.

> Does Cingular price their wireless service to be competitive?

Yes.