article imageSkype to Rattle Mobile Industry With First Cellphone

By David Silverberg.
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Oct 22, 2007 by  David Silverberg - 15 votes, 2 comments
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First Skype sent shock waves through the world of Internet telephony with inexpensive long-distance plans. Now it wants to shake up the mobile market with a Skype cellphone released through UK wireless provider 3 Mobile.
Digital Journal — Skype will make its first appearance in the cellphone market with the launch of a handset later this year. Reuters reports the Internet telephony company’s first cellphone will be introduced in countries where 3 Mobile operates, which include the UK, Japan, Austria, Italy and Sweden.
Skype spokesman Chaim Haas told Reuters that 3 and Skype "are working together on a new product to make Skype completely mobile.” No further details, such as pricing and tech specs, were available at press time.
Skype’s software is already being used on some 3 Mobile phones, although this handset would be Skype’s first foray into its own branded hardware. It will supposedly be easier to use the Skype service compared to the other handsets employing the software.
Bringing voice-over Internet protocol (VoIP) to the mobile market is a fresh-faced move that could change the entire industry. While international calls are usually avoided because of grossly expensive costs, mobile users would likely embrace a handset and service that made long-distance calling affordable.
A robust entry into the cellphone market is key for Skype’s continued success, especially in light of the mediocre productivity it’s given eBay, Skype’s owner. But this news, coupled with the Skype-MySpace partnership announced last week, could help the e-phone company shake off the bad karma of its past and give investors hope.
And not only should investors be smiling when the Skype handset launches. The cellphone fanatic will also be grinning widely at the news of a phone designed for affordable long-distance calling. The mobile industry will never be the same.
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