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Full Version: eBay CEO: Free phone calls on horizon
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Quote:Whitman says Internet phone technology like Skype will drive the cost of phone calls to zero.

In a few short years, users can expect to make telephone calls for free, with no per-minute charges, as part of a package of services through which carriers make money on advertising or transaction fees, eBay's chief executive said Wednesday.

full article: http://money.cnn.com/2005/10/20/technolo...ney_latest
Why do I NOT believe that?  Just about everything that I can think that eBay got their hands on they eventually started charging fees for so I suspect eventually they will charge fees here too, maybe a small fee but still a fee is a fee and eBay doesn't do much for free for long.

Quote:Whitman says Internet phone technology like Skype will drive the cost of phone calls to zero.

I rarely ever call anyone now - it's mostly all by email.

Its very funny that Meg predicted that phone calls will be free in light of the this statement eBay released yesterday about its rival Taobao in China:

eBay Press Release Wrote:"Free" is not a business model. It speaks volumes about the strength of eBay's business in China that Taobao today announced that it is unable to charge for its products for the next three years.

my reply that I just left on the Taobao thread:

Quote:Question for eBay:  If free is not a business model then what does that say about Skype and Meg's prediction yesterday that it and all other Internet phone companies in the not too distant future will offer free calling?  Is there a difference between a business model that includes consumers receiving free VOIP calling and a "not a business model" that includes consumers receiving free auction listings?

Skype's reliance on advertising sounds exactly like Taobao's reliance on advertising. :Smile