Skype reveals a $29.95 a year service for unlimited calls to wireless and landline phones.

This is big news! Skype’s unlimited calling subscription poses a large threat when it comes to price to many existing VoIP services.

Voice over Internet Protocol, VoIP for short, cost $300 to $400 per year if you use one of the main stream cable and DSL providers.

Skype’s latest plan will bounce off the back of a free promotion that began in May and expires Dec. 31. The new offer revealed today, is limited to consumers in the USA and Canada, and calls have to originate and terminate in those two countries.

Verizon and AT&T charge about $25 a month for their VoIP services. Cable giants Comcast and Time Warner are adding VoIP for about $40 a month. Skype and the other VoIP providers all require high-speed Internet access.

Skype users can still make PC-to-PC calls at no charge. Skype currently charges about 2.1 cents a minute in the USA and Canada. This blogger doesn’t think that makes any sense at all if I can now have unlimited calls for a year for $29.95. I’m jumping on the band wagon!

There is a more detailed article on this announcement in USAToday.com

Check out Skype.com

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