Vonage is finally profitable, even with $10 plans. No idea how that worked out except that most people aren't using the home phone. That hasn't stopped Ooma from innovating on the home phone front with their Telo device. Rich Tehrani has a great review of Ooma here.
Just a thought for folks that don't want to partner with Magic Jack. They can sell Skype devices or Ooma hardware without being a service provider.