Good afternoon.
I've been posting my experiences with magicJack on DSL Reports (a.k.a. Broadband Reports) and I've been asked to post my ongoing review of magicJack here at the Unofficial magicJack Forum as well. The original DSL Reports thread can be found here.
So, without further adieu, here are my articles on my magicJack adventure...
BACKGROUND
magicJack has been running for about three weeks now on a Hewlett Packard T5710 Thin Client (setup as a dedicated magicJack telephony server). Overall, I am pleased with magicJack's performance.
Over the past couple of weeks I have updated my telephone number with friends and organizations with whom I do business and my calls now come through my magicJack. My Verizon service is essentially unused at this point.
Today I integrated the magicJack and telephony server into my central home telephone system and demoted the Verizon telephone service to one phone with no answering machine. This coming week, I will be canceling my Verizon home telephone service and reallocating the money saved by eliminating the telephone service to increase my Verizon broadband Internet connection rate. I've done a bit of analysis on the economics of this decision and I'll share my results here in case anyone else is weighing this strategy.
STRATEGY & ANALYSIS
First, let me take a moment to describe the level of Verizon telephone service that I have. The plan was Verizon's unlimited local calling service with no enhanced calling features of any kind. I had no long distance service on my Verizon telephone line and toll calls were about thirty cents/minute. Toll and long distance calls were handled through OneSuite at 2.5 cents/minute. I accessed OneSuite through a local access telephone number, which leveraged my unlimited local calling service through Verizon. This Verizon telephone service plan cost me approximately USD25.00/month. OneSuite toll/long-distance minutes were purchased in blocks of USD10.00 and good for six months before I would have to spend an additional USD10.00 to purchase more minutes and reactivate any remaining minutes I had from my previous purchases. So, at 2.5 cents/minute, I was spending about USD20.00/annum for 800 toll/long-distance minutes/annum. As you can see, I don't make a lot of toll/long-distance telephone calls.
So, using the numbers above, I was spending USD300.00/annum for Verizon basic telephone service with unlimited local calling. An additional USD20.00/annum purchased 800 toll/long-distance minutes to meet my needs. My total annual cost for telephony services was USD320.00.
Using the magicJack strategy, I now have:
- Unlimited local and toll/long-distance calling,
- Call forwarding,
- Caller ID,
- Call waiting w/Caller ID,
- Conference calling,
- Voicemail and
- Voicemails via e-mail as *.WAV files
Earlier I mentioned that I will be reallocating the money saved on my monthly Verizon telephone service to increase my Verizon broadband Internet service rate. Let's have a closer look at this now. My present Verizon Internet access is their so-called Verizon DSL Starter Plan at USD14.95/month. The DSL Starter Plan provides data rates of 768Kbps downstream and 132Kbps upstream. My monthly Internet access cost of USD14.95 combined with the aforementioned USD25.00/month for my Verizon basic unlimited local calling telephone service results in a total monthly expense of about USD40.00. Dropping the USD25.00/month telephone service should reduce my monthly Verizon expense to USD14.95, but it doesn't. Let's see why...
Verizon, just like Comcast (and probably anyone else offering broadband these days), sticks it to customers who purchase broadband only. Without Verizon telephone service, my DSL Starter Plan monthly rate goes to USD29.95/month thereby reducing my monthly savings from USD25.00 to USD10.00. Verizon's next step up in DSL service is their Power Plan providing 3Mbps downstream and 768Kbps upstream. The DSL Power Plan rings in at USD39.99/month without Verizon telephone service. (As an aside, Verizon calls DSL service without their telephone service a dry loop connection.) By upgrading to the DSL Power Plan service, I will effectively wipe out any dollar savings I might have been able to realize with magicJack. But, here's the interesting thing. For the same amount of money each month (not counting magicJack's negligible USD19.95/annum licensing fee, which is canceled out by the elimination of the USD20.00/annum toll and long-distance minutes I used to purchase through OneSuite), I will have increased my broadband Internet service connection rate, telephone calling features and gained unlimited toll and long-distance calling for the same amount of money I have been paying each month. This actually works out to be a good value.
CONSIDERATIONS
There are some considerations for anyone contemplating magicJack as a land-line replacement. Let's look at these now.
- magicJack telephone service is not Verizon telephone service. There is a difference in call quality and service reliability. In my case, magicJack functions at least as well as my wireless telephone. So, I can live with it.
- magicJack voicemail is unreliable. I find that magicJack voicemail only picks up about 65% of the time. You can use an answering machine instead of magicJack's voicemail. However, this could prove to be a nuisance since the answering machine will need to be set to its two rings setting in order to answer the incoming calls. The four ring setting may not catch the magicJack calls since magicJack voicemail is hard-coded to intercept calls after four rings. This also makes the toll-saver setting that many answering machines have unuseable. (NOTE: I am presently studying the magicJack voicemail issue to better understand what may be causing the unreliability.)
- Setting up magicJack on the Hewlett Packard T5710 Thin Client is not for the faint-of-heart. My professional background includes 20 years of information technology experience in networking, telecommunications and server infrastructure. The magicJack effort was my first experience with a Thin Client and I drew heavily on my professonal and personal "geek" experience to get the magicJack/Thin Client combination up and running. In fact, I cannot honestly say that it would have ever occurred to me to try changing the USB port driver had it not been for HolmanGT's post on this issue. That was an excellent discovery on his part and he has my sincerest respect for catching that. In any case, I've been through the Thin Client setup (from scratch) three times now (not all by choice either) and it is certainly less mysterious to me now than it was five weeks ago.
- magicJack has zero effective support. If you have problems with your magicJack or the magicJack telephony service, you would do best to resign yourself to the idea that you will wait until "they" (i.e. the magicJack folks) fix the issue (see my review of Verizon's DSL service on DSL Reports for more on this concept). The support is abysmal and you should expect nothing in order to avoid being disappointed. In my case, I rely on my own geekiness to get me through the tough spots.
- If you decide to replace your land-line telephone service with magicJack, kiss your land-line telephone number a teary good-bye. In response to my chat inquiry regarding telephone number portability availability, the magicJack representative said it would be available in the next several months -- whatever that means. To me, it means no. So, after nearly 17 years with the same Verizon (well, it was Bell of Pennsylvania back then) telephone number, I am saying good-bye to my old number. I didn't believe I was going to miss it, but somehow, I will. Oh well, at least I won't be getting calls from old boyfriends. This might not be so bad after all. I digress...
- magicJack's terms of service are aggressively designed to facilitate an advertising-supported business model. It is shocking to me that most Americans don't read terms of service agreements, but the sad truth is we don't. A more thorough commentary on the terms of service is beyond the scope of this article. However, I am considering a future article on magicJack's terms of service to help people better understand the impact of the terms on personal privacy. If this is something that you would like to see, do let me know. The business precedent for magicJack's business model, as it turns out, is Juno (no, not the movie) e-mail (for those of you that have been around awhile.) Juno's early business model (circa late 1990s) was advertising-supported free Internet e-mail. Juno provided customers a dialer and dial-up access and a proprietary e-mail client that allowed e-mail-only Internet dial-up and downloaded advertisements to the client computer during dial-up e-mail sessions. Juno is still around today, but the advertisement-supported e-mail business model turned out to be unsustainable over time. Juno merged with NetZero in 2001 and broadened their portfolio of services to drive revenue harder and subsidize the unprofitable advertisement-supported e-mail-only dial-up service. Times are very different today and telephony has become a highly commoditized service. magicJack may experience more success with the advertisment-supported service model depending upon how they structure their advertising channels (e.g. softphone client e-advertisements vs. selling our magicJack telephone numbers).
- You should NOT replace your existing land-line telephone service with magicJack unless you have a wireless telephone on which you can rely as a back-up in the event magicJack telephone service is unavailable. In my case, I have T-Mobile and I happen to enjoy excellent wireless signal strength at home. So, if I need telephone service in an emergency, I can use my wireless telephone in the event magicJack is unavailable.
- magicJack does not work with a fax machine. This is outlined in magicJack's terms of service. Unfortunately, this is a bit of a pain for me. I do send a couple of faxes each month and I have worked out an alternate arrangement where I can scan the documents and e-mail the images to the folks to whom I need to send them. If you absolutely have to have inbound and outbound fax capability, you will need to keep your land-line service or make other arrangements.
- I was going to write something here about magicJack's 911 service, but then it occurred to me that I couldn't care less about 911 service. I don't use 911 and I would be perfectly happy not to have 911 service. That's just my opinion, of course. (Please don't send me a bunch of e-mails telling me how great 911 service is. Believe it or not, there was a time before 911 service and somehow we managed to get through it. Well, I did anyway.) When I was a kid we had the telephone numbers of the police and fire departments and ambulance service right next to the telephone and we didn't have to pay a bunch of money each month for it either. Anyway, if 911 service is important to you then you should probably test your magicJack by dialing 911 and verifying that your address is appearing correctly to the 911 operator before assuming that this feature is functioning correctly.
I'm excited about trying out magicJack as my home telephone service. I view this as an experiment and it's kind of fun. In the final analysis, if magicJack doesn't survive, I can always get land-line service again if I want it.
I'll report on here from time-to-time to provide updates on my magicJack telephone service experience.
I'm considering producing a video on building a dedicated magicJack telephony server using the Hewlett Packard T5710 Thin Client and a magicJack. It's a pretty significant undertaking and I haven't quite talked myself into it just yet.
Thank you for reading this article.
Do have a lovely day.
Lisa