Internet phones concern traditional telecommunication companies because, for the price of a local call on either end, two net accounts, and a little advance planning, two people anywhere in the world can talk as often and for as long as they want. Compare that to international telephone rates that climb upward at the cost of $2 or more per minute, and net phones start to look pretty good, even with all the logistical and operational difficulties.

In fact, the America Carriers Telecommunication association, which is made up of 130 small long-distance telephone companies, has filed a petition before the FCC. ACT wants the FCC to regulate internet telephone companies are now regulated, and to treat isp as local telephone companies. As of the end of 1996, the issue had not been addressed by the fcc, though public comments were being accepted.

You will need to pay attention to your hardware setup if you plan to use an internet phone product. Telephone software handles streaming files, playing uncompressed audio while processing the incoming compressed information. To send out your voice while simultaneously processing the incoming phone call, your sound card needs to support full duplex. If your card supports only half duplex, you wont be able to talk while listening to the incoming voice. The experience is similar to using two way radio or a bad speakerphone.

There is more to a phone application than merely chat. Some let you send more than just voice; you can transmit email, or even files. Several packages feature multiple lines, which allow you to put someone on hold while chatting with another person.

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