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Give them half, which leaves you 0.875 cents per minute, and you’ve got a pretty attractive proposition! You’re still paying long distance charges, which are at minimum going to be the 1 or 2 cents per minute that Gizmo or Skype are charging.

The cost basis to provide service in those communities is dramatically lowered. Most Iowa telephone companies (and there are a lot! The NECA publishes a tarrif, which each company participating agrees to use, and then they split the revenues.

The termination charges for those tarrifs are a significant source of revenue for the local phone companies.

It’s certainly a lot more profitable than Sip Phone, charging 1 cent per minute, and probably about as profitable as Skype at 2 cents per minute. And, should you choose to make the call from a landline, you may be paying up to 10 cents per minute, depending on where you’re calling from, and what LD plan you have with your carrier.

Or, you’re burning air time on your cellular phone. Makes you wonder what Future Phone’s real value is, doesn’t it?

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