The latest version of Skype for the iPhone will at last let you make Skype calls over AT&T's 3G network — meaning free voice calls for everyone, right? Not so fast, say Skype execs. Charges for free-for-now Skype-to-Skype calls are coming, and don't forget that AT&T is ditching its unlimited data plans.
Version 2.0 of the Skype iPhone app came out Sunday, supporting the long-awaited ability to place Skype calls over AT&T's 3G data network. Under pressure from federal regulators, AT&T had actually given the green light to Skype calls last year, but the Skype app itself only worked over Wi-Fi until just now.
What's so special about Skype calls over 3G? Theoretically, it means you can bypass AT&T's voice network altogether — even when you're out of Wi-Fi range — letting you place unlimited voice calls with fellow Skype users for the low price of nothing. You can also call landlines and non-Skype users worldwide (about 30 countries are included) for about 2 cents a minute. (I use the for-pay Skype service over Wi-Fi all the time because of the terrible AT&T reception in my Brooklyn apartment.)
In practical terms, the iPhone Skype app has some limitations, though. It still doesn't support the iPhone's "push notification" feature, which pops up an alert for an app that isn't currently running — like, say, an incoming Skype call. That's the bad news. The good news is that Skype will be able to warn you of incoming calls once the new multitasking iPhone 4.0 software arrives this summer (possibly even next week).
But Skype's killer feature — free Skype-to-Skype calling — is going away sooner rather than later, at least as far as the iPhone and AT&T's 3G network is concerned. Skype has announced that it will offer free Skype-to-Skype 3G calls only "until the end of 2010," after which it will start charging a "small monthly fee." How small? No word yet. (Skype-to-Skype calls over Wi-Fi will still be free.)
Not only is the free ride ending for 3G Skype-to-Skype calls, there's also the little wrinkle of AT&T's bombshell announcement that it's phasing out its unlimited 3G data plans, starting June 7. New customers will pay $25 a month for 2GB of data, or $15 a month for 200MB, plus any overage charges ($10 for an extra GB in the case of the 2GB plan, or $15 for another 200MB for the 200MB option). If you currently have an unlimited, $30-a-month 3G plan through AT&T, you'll be grandfathered in.
So AT&T subscribers who end up with new capped data plans will find that 3G Skype calls eat into their monthly data allowances, and overage fees will loom if you're an inveterate Chatty Cathy.
Theoretically, anyway. What's the reality? How much data does a typical 3G Skype call consume?
The Skype support site covers this issue in a relatively roundabout way, estimating that if you have 20 Skype contacts, log on for 90 minutes a day, engage in 25 daily minutes of Skype text chat, and make 20 minutes of Skype calls (whether that's 20 minutes a day or a month isn't clear; I'm inclined to think it's the latter), you'll burn through "just under 1MB" of data a month.
That sounded a little low to me, so I conducted my own experiment. I reset my iPhone's data usage statistics, fired up Skype and called Moviefone for 10 minutes, occasionally tapping a number key to keep the call going. (No, I didn't do a lot of chatting on the call; I'm not much of a talker anyway, but the Moviefone guy was nattering away the entire time.)
When 10 minutes were up, I hung up and checked my 3G usage statistics: 388KB upstream, 1.8MB downstream, for a total of about 2.2MB.
So using those numbers, if I were to call Moviefone for 450 minutes a month (that's my monthly allotment of AT&T voice minutes, only a fraction of which I ever use), I'd use up close to 100MB, or half of the data allowed under AT&T's $15/month 200MB plan.
How big a problem that is depends, of course, on your monthly calling habits. If you're like me and you make maybe 30 minutes of Skype calls a month, no big deal. But if you're planning to hold lengthy daily conference calls over 3G via Skype, well ... Skype might not be much of a bargain anymore.
What do you think? Do Skype's plans for iPhone fees, combined with AT&T's new capped data plans, drain most of the appeal out of the free-for-now calling service? Or will you keep using Skype despite the upcoming fees and data caps?
What's so special about Skype calls over 3G? Theoretically, it means you can bypass AT&T's voice network altogether — even when you're out of Wi-Fi range — letting you place unlimited voice calls with fellow Skype users for the low price of nothing. You can also call landlines and non-Skype users worldwide (about 30 countries are included) for about 2 cents a minute. (I use the for-pay Skype service over Wi-Fi all the time because of the terrible AT&T reception in my Brooklyn apartment.)
In practical terms, the iPhone Skype app has some limitations, though. It still doesn't support the iPhone's "push notification" feature, which pops up an alert for an app that isn't currently running — like, say, an incoming Skype call. That's the bad news. The good news is that Skype will be able to warn you of incoming calls once the new multitasking iPhone 4.0 software arrives this summer (possibly even next week).
But Skype's killer feature — free Skype-to-Skype calling — is going away sooner rather than later, at least as far as the iPhone and AT&T's 3G network is concerned. Skype has announced that it will offer free Skype-to-Skype 3G calls only "until the end of 2010," after which it will start charging a "small monthly fee." How small? No word yet. (Skype-to-Skype calls over Wi-Fi will still be free.)
Not only is the free ride ending for 3G Skype-to-Skype calls, there's also the little wrinkle of AT&T's bombshell announcement that it's phasing out its unlimited 3G data plans, starting June 7. New customers will pay $25 a month for 2GB of data, or $15 a month for 200MB, plus any overage charges ($10 for an extra GB in the case of the 2GB plan, or $15 for another 200MB for the 200MB option). If you currently have an unlimited, $30-a-month 3G plan through AT&T, you'll be grandfathered in.
So AT&T subscribers who end up with new capped data plans will find that 3G Skype calls eat into their monthly data allowances, and overage fees will loom if you're an inveterate Chatty Cathy.
Theoretically, anyway. What's the reality? How much data does a typical 3G Skype call consume?
The Skype support site covers this issue in a relatively roundabout way, estimating that if you have 20 Skype contacts, log on for 90 minutes a day, engage in 25 daily minutes of Skype text chat, and make 20 minutes of Skype calls (whether that's 20 minutes a day or a month isn't clear; I'm inclined to think it's the latter), you'll burn through "just under 1MB" of data a month.
That sounded a little low to me, so I conducted my own experiment. I reset my iPhone's data usage statistics, fired up Skype and called Moviefone for 10 minutes, occasionally tapping a number key to keep the call going. (No, I didn't do a lot of chatting on the call; I'm not much of a talker anyway, but the Moviefone guy was nattering away the entire time.)
When 10 minutes were up, I hung up and checked my 3G usage statistics: 388KB upstream, 1.8MB downstream, for a total of about 2.2MB.
So using those numbers, if I were to call Moviefone for 450 minutes a month (that's my monthly allotment of AT&T voice minutes, only a fraction of which I ever use), I'd use up close to 100MB, or half of the data allowed under AT&T's $15/month 200MB plan.
How big a problem that is depends, of course, on your monthly calling habits. If you're like me and you make maybe 30 minutes of Skype calls a month, no big deal. But if you're planning to hold lengthy daily conference calls over 3G via Skype, well ... Skype might not be much of a bargain anymore.
What do you think? Do Skype's plans for iPhone fees, combined with AT&T's new capped data plans, drain most of the appeal out of the free-for-now calling service? Or will you keep using Skype despite the upcoming fees and data caps?
