4/23/2004 05:45:00 AM

VOIP For the Working Class

IDT plans to become the first company to offer home phone service through the same wireless technology customers at Starbucks or McDonald's use to tap the Internet

...It is aimed at customers who want cheap phone service but don't want to pay for a fast Internet connection to get it.

...IDT plans to offer the service in the working-class, ethnic neighborhoods where it sells the bulk of its prepaid calling cards, the main source of the company's sales. Most Wi-Fi marketing plans so far have catered to well-heeled business users, but the company said it is certain of demand for inexpensive phone plans.

IDT plans to set up microwave antennas in the Ironbound (neighborhood) to create what are known as "Wi-Fi" hot spots -- zones with wireless Internet access that can rival the speed of cable modems or digital subscriber lines. Customers within those zones will be able to rent a Wi-Fi-compatible phone for a few dollars a month, and not have to pay for incoming calls, IDT officials said.... outgoing calls are expected to be charged on a per-minute basis, at rates well below conventional toll calls.