Packet8
VoIP, Videophones, and Hosted IP PBX Services

Founded in 1987 under the name Integrated Information Technology, 8x8 Inc, parent company of Packet8, has been a long time innovator of videoconferencing and videophone technology. In 2007 8x8 went public on the NASDAQ under the symbol EGHT and five years later launched its residential VoIP phone service Packet8. In 2004 Packet8 went after the small business market introducing the Packet8 Virtual Office, a highly acclaimed hosted IP PBX service.

Packet8 also offers several hardware devices. The Packet8 DV326 Broadband Consumer VideoPhone and the Tango Video Terminal Adapter are just two devices that bring voice and video communications to the residential and small business consumer. 8x8 has over 65 patents in the U.S. and has several patents pending.

Calling Plans

For residential consumers, Packet8 offers two calling plans, both with unlimited minutes. The Freedom Unlimited plan offers free calls in the U.S. and Canada with all the standard features for $24.99 a month. You also have the option to pay annually for a $100 savings at $199.00 per year, a substantial savings over Vonage whose annual plan goes for $239.99 a year.

For those who make a lot of international calls, the Freedom Unlimited Global plan offers an impressive list of about 40 countries around the world where calls are free at anytime of the day, in addition to the U.S. and Canada. Calls to mobile phones are not included in the plan, but calls to other Packet8 subscribers are unlimited and free worldwide. Countries included in the plan are located in Europe, Asia, Latin America, and Israel. Calls to other countries are billed at low VoIP international rates.

The Business 2000 plan lies somewhere between a residential and full fledged calling plan for small businesses. The plan includes a single DID line with 2000 free minutes, and the standard feature set for $39.99 per month.. There is a one time activation fee of $29.99 for all three calling plans.

Packet8 also offers Softtalk Basic at no extra cost with their residential plans, a soft phone application that requires a Windows PC and headset.

Packet8 Virtual Office

Where Packet8 really shines is in the SMB market. Named number one in the U.S. as a hosted VoIP PBX service by the research group AMI Partners, the Packet8 Virtual Office is used by over 7,000 small to medium sized businesses worldwide. With a presence in such retail locations as Office Depot, 8x8 seeks to become a market leader in hosted communications for small businesses.

For the small business, the hosted service means getting a low cost VoIP telephone service and an enterprise class PBX at a fraction of the cost if it were done in house. Packet8's Virtual Office offers a low per extension monthly rate, low initial start up costs, and the added advantage of not having to hire IT professionals to maintain and troubleshoot the equipment. The office attendant even makes the full time switchboard operator obsolete.

Minimum requirements to run Virtual Office are a high speed broadband connection, a business class phone, of which Packet8 has plenty to choose from, and a phone adaptor. Businesses can cut initial costs further by using their existing analog phones. They also have the option of adding video to the telecommunications mix by purchasing a variety of videophones available from Packet8.

For a single site business, the Virtual Office offers free unlimited calls in the U.S. and Canada, and low VoIP rates internationally. Where the savings really begin to add up is when a business has multiple offices in different geographic locations. Calls between extensions are free and unlimited worldwide, as well as any call to any Packet8 subscriber.

The Office Attendant gives the small business a professional touch internally and externally by routing calls by extension, name, ring group, or directory, and offering such features as selective rules call forwarding, follow me/find me, global audio/video conferencing, business class voicemail, and the ability to direct dial any extension.

Monthly pricing for the Virtual office starts at $49.99 per extension per month, with the option of going global to about 40 select countries starting at $79.99 per month. Initial start up costs include the monthly fee, activation fees, equipment costs, shipping, regulatory fees, and an E911 service fee. The Virtual Office has a 3 extension minimum requirement, making the initial minimum cost of deployment for a small business around $640.

Businesses also have the option of choosing one of the Plus plans to reduce start up costs. For a $10 additional monthly fee, no equipment costs will be charged, bringing the initial investment for the Virtual Office Unlimited Extension Plus plan down to around $370. Plus plans require a 2 year service contract and are subject to a $100 fee for early termination.

The Virtual Office also offers several additional services and add ons, each with their own monthly fees. Virtual and toll free numbers, a dedicated fax extension utilizing the T.38 fax protocol, and a switchboard software application are just some of the options available.

The Virtual Attendant, at $14.99 per month, allows for businesses smaller than 3 people to also project a professional image, bypassing the 3 extension minimum requirement for the Virtual Office. Startup costs include only the monthly fee, activation fee, and regulatory fee for $26.48.

For the road warrior and the telecommuter, Packet8's Softtalk Office is a full featured PC based soft phone application that allows full access to the Virtual Office PBX system from any broadband connection - without having to use a phone. Softtalk enhances Virtual Office by allowing up to 6 simultaneous participants in a video conference. $9.99 per month buys you 200 minutes of Softtalk Office.

Packet8 VoIP/Videophone Technology

As mentioned earlier, Packet8 and 8x8 offer a variety of telephones for the residential and business consumer. The Uniden series consist of a cordless phone and VoIP base station expandable to up to ten handsets. The base has a built in broadband adapter and a router designed to prioritize voice packets.and manage bandwidth. Some of the features include two-way radio for walkie-talkie short range communication, three way calling, speaker phone, a headset jack, and a built in firewall.

The DV326 is Packet8's desktop video phone designed for the residential and business consumer. The 5” Active Matrix TFT-LCD screen shows full motion video at up to 30 frames per second from any other Packet8 subscriber world wide with another Packet8 videophone, Softtalk, or Tango device. Some of the features include freeze frame, picture in picture, video and audio out jacks for larger displays, and in jacks to send pre-recorded footage. The DV326 is only available to Packet8 subscribers and goes for $99 after a $100 mail in rebate.

Packet8's newest appliance, the Tango VTA464, began shipping in March. On April 12th, they introduced the Tango on the Montel Williams show, where he gave two Tango's to each of his guests, soldiers being deployed to Iraq and there families at home.

The Tango is a video terminal adaptor (VTI) that can turn any phone into a video phone through the use of a broadband connection. Its 5" LCD display and rotating camera produces full motion H.264 video at up to 30 frames per second. Weighing in at 1.5 lbs, the tango is a free standing device that folds up for portability, and is SIP compliant with no delay audio.

The Tango can communicate with the DV326, as well as other Packet8 phones, and Softtalk Basic and Office. Currently the Tango is being sold for $99 with a $100 mail in rebate, this offer expiring June 31st, and like the DV326, it only works with a Packet8 calling plan.

 

and Packet8 have distinguished themselves from the other pure play VoIP service providers, aggressively pursuing the SMB market by offering an affordable hosted VoIP PBX service. Their advances in video telephony have also captured the imagination of businesses and residential customers, and have made a subscription to Packet8 seem worth more for the money with the inclusion of video in addition to VoIP.

On May 15th, 2007, 8x8 was awarded its 68th patent, entitled Virtual Telephone Extension, for a communication routing system between broadband networks and the PSTN utilizing a user programmable database.

 

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