Charter, Mediacom Expand VoIP Service

Watch out, smaller regional telcos. Cable operators are starting to deliver voice-over-IP (VoIP) to the hinterlands. In the latest example, Mediacom Communications rolled out VoIP service in the Waterloo/Cedar Falls, Iowa area last Friday, making that its second digital phone market. Mediacom, the largest cable operator in Iowa, said it plans to offer phone service to 65% of the homes that it passes in the state by the end of the year. At the same time, Charter Communications extended VoIP service to Inland Empire and High Desert, CA. That makes them the MSO's first phone markets in California. Charter is charging its existing cable customers $39.99 a month for its VoIP service. Mediacom is charging as little as $29.95 a month for its variety. Let the local phone price wars begin.