Telco recognition of scorched earth

David Bitton, director of a VoIP subsidiary of Neuf Cegetel, comments on Skype in an interview in French paper Le Figaro:

Skype, qui
permet de téléphoner gratuitement sur Internet à partir d’un micro-ordinateur,
est un aiguillon. Il joue un rôle de catalyseur en faisant prendre conscience
que la minute de communication à partir d’un téléphone fixe va devenir
gratuite. Il oblige donc les opérateurs à inventer de nouvelles formules
commerciales mettant l’accent, par exemple, sur les communications illimitées
.

So this is an admission that Skype is basically a harbinger of the zero-price future of voice, which is encouraging telcos to adopt their scorched earth strategies.

What’s interesting is that as telcos let go of seeking revenues from voice minutes, and focus on securing broadband access subscriptions, Skype is no longer seen as a threat.

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