Monday, April 14, 2008

Another VoIP Casualty

deltathree was delisted from Nasdaq last week. deltathree has a $5.2 million quarterly loss. deltathree has been around a while as an original wholesale VoIP provider. Once again proving that selling below water means you eventually drown.

What's really shocking is that I was under the impression that VZ's Voicewing service was provided by deltathree. Maybe they lost that.

Phone+ states that d3 spent a year making JOIP for Panasonic. It lost focus. Not a good thing to do in this market. d3 mentions that its differentiator is that its international. If you don't have a foothold in one market or vertical, why would you think spreading your marketing message across the globe would be effective?

8x8, Vonage, and Primus/Lingo are all in the same tank as d3.

Kelly at Phone+ ends the article by asking: "The fact is, pure-play VoIP is not the money-making messiah the industry once believed it would be. The unanswered question is how will providers differentiate themselves and become profitable?" That's the problem! They have NOT differentiated themselves. It's all the same bull -- I'll save you 10%! That dog won't hunt any more.

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