Blog Post

Coming Soon: fringOut For Cheap Calls

Want yet another way to make very cheap phone calls? Try fring, which today launched a preview version of its upcoming fringOut service that will allow you to call almost anywhere in the world for a penny a minute. Yup, you heard that right: 1 cent a minute to almost anyplace on the planet. Of course in some places, the per-minute prices are going to be higher. Like SkypeOut, fringOut is a way to call folks who aren’t using fring on their landlines or mobile phones. The only catch for this new service: it’s available only on Nokia (s nok) handsets.

I wonder if the launch of this ultra-low cost service is a way for fring to disrupt Skype’s SkypeOut gravy train, especially ahead of Skype’s IPO. I mean, if this thing gets traction or other mobile VoIP providers start to lower prices in retaliation, even Skype would have to play the price game, which in turn would impact its (current) main source of revenue.

Check out our previous fring stories.

Related content from GigaOM Pro (sub. req’d.):

SkypeKit: Skype’s Platform for CE-Based Communication

Videoconferencing Unleashed: The Enterprise Videoconference Landscape, 2010 – 2015.

5 Responses to “Coming Soon: fringOut For Cheap Calls”

  1. A quick check and the prices are no way near 1 cent.

    It doesn’t even make sense to talk about 1 cent per minute, as most mobile phone carriers charge 5-10 cents per minute from the carrier that delivers the call.

  2. Fring is a great innovative company.

    Like Nimbuzz did a few month ago, fring follow. These VoIP/chat app company start with a free app to use with your VoIP provider & prefered chat services. Then, because they don’t make enough money, they launch their own VoIP services. Problem: they don’t know anything about to be a telecom provider before that!

    I don’t think they do that because of Skype conflit. They do that to try to make more money, nothing else.

    1 cent a minute? I think their margin will be very low. They make the same mistake of every new provider. It’s not just a minute! It’s people, developpers, network, interconnection, licences.., all these ingredients cost a lot at the end. At 1 cent a minute, there is not a lot of margin (even no margin). It’s also possible that at this price the quality of the call will not be “Premium routes”, so the quality will not be the best as possible. I think, they will change the price later when they will understand how it works.

    I don’t think Skype or any other VoIP provider will low their prices because of Fring. Nobody want to go directly in the wall and start a price war. It’s better to concentrate on the quality & the services, because “price is not all!”. BTW, the difference at 1 or 2 cents/mn for 5 hours calls/month to landlines, it’s just 3 dollars!

    There is another problem. My company, like many others SIP provider, signed a contract with Fring for auto provisioning. So, we recommend to OUR customer to download Fring. Now Fring will contact OUR/THEIR customer to propose their own services. If it’s the case, it’s totally not fair…