Technically, a free Internet Phone (IP) network service provider (NSP) isn't always free because these Internet Phone services require a high-speed Internet connection and, in many cases, additional handphone converter equipment. However, when compared to traditional landline phone services, an Internet protocol phone may save your business costs, especially if you make a significant number of international calls.

Usually what makes certain VoIP (Voice over Internet Protocol) phone companies classify their services as "free" is proprietary software marketed as freeware. To be classified as "freeware," the VoIP software must be fully functional for an unlimited period of time with no cost to the user.

Before selecting "free" or low cost VoIP network service providers, your criteria may include:

1. Besides freeware, do certain VoIP NSPs offer enhanced services at no extra cost, including voicemail and caller ID?
2. Are there hidden fees for additional network telephony services?
3. Is the sound quality of free IP phone calls equivalent or better than landline phone calls?
4. How easy is it to install the freeware, and is the software's user graphic interface intuitive?
5. Does the free IP network provider offer a connectivity option to hardphones as well as via headphones and microphone?

Action Steps
The best contacts and resources to help you get it done

Visit review websites for better selection of free or low cost VoIP network service providers

You can find IP network providers on product review websites and at reliable product comparison websites.

I recommend: VoipReview.org offers a long list of reviews for VoIP service providers. The CNET Editors Guide to VoIP is a solid resource for VoIP network service providers with a focus on low-cost and free services. The VoIP Now blog focuses on free IP phone services. Voxilla.com's product reviews of VoIP Software page provides a solid starting point for those looking for VoIP NSPs.

Consider Instant Messenger services with free or low-cost network telephony solutions

Contenders in this IM-with-VoIP free or low-cost IP NSP arena include major online players like Google, Yahoo, MySpace, and MSN.

I recommend: Windows Live Messenger is an MSN feature that couples Instant Messaging (IM) with a PC-to-PC VoIP function and a webcam video option along with other features. You can download it free of charge. Google Talk is a free beta product that also offers instant text messaging and PC-to-PC VoIP. Yahoo! Messenger offers Yahoo! Voice Phone Out, a service that includes free PC-to-PC and PC-to-Mobile Phone calls. MySpace.com's MySpaceIM with Skype allows MySpace online social community users to make free PC-to-Mobile Phone calls on IM to MySpace "Friends."

Consider IP network service providers offering free or low cost services to mobile phones and PDAs

Some free IP network providers also offer their own mobile phones

I recommend: Network telephony provider Skype offers free phone calls made to other Skype users worldwide. Skype also has its SkypeOut low-cost call service enabling users to make calls from Skype-enabled PCs to non-Skype cell phones. At the Skype Store, you can buy Skype-enabled cordless telephones (mostly from Philips) as well as Skype-enabled WiFi phones (from Netgear). Gizmo5, an early developer of free VoIP software, offers free PC-to-Mobile phone service to 60 countries, or you can download Gizmo5 Mobile software to a compatible mobile phone for low-cost international calls from anywhere.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Various government legal issues are brewing in governmental courts with the intent of resolving conflicts between VoIP services and traditional telecommunication and cable companies.
• •  Certain cities are now offering municipal VoIP services as lower cost alternatives to lower income residents. Find out if your city is included.
• •  Make sure your VoIP network service provider doesn't include hidden fees for additional features
• •  Be aware that the voice quality of some free phone systems may not stack up to the voice quality of a traditional landline or even a cell phone connection.