Nettlinx, an Andhra Pradesh based ISP provider and US based Smart IMS have allied to launch a VoIP service branded 'Matallo' in AP.

Matallo, (meaning 'in words' in Telugu) - a result of their SmartLinx JV, will see Nettlinx offer various home and enterprise phone models, besides Matallo Videophone, which offers video stream, allowing video calls and conferences.

Subscribers will need just a broadband connection. The instruments will entail a fully refundable deposit of Rs.2000, and a monthly rental charge of Rs.49 per instrument (negotiable for enterprise orders), besides installation charges of Rs.500.

Users will thenbe able to place international calls at prices 60 to 80% lower than landline rates. For example, Rs.4 per minute call to the US or Canada will cost Re.1 by using Matallo. However, this will not be applicable for local or emergency calls.

Also on offer is Closed Group Service, where two instruments are hooked up and unlimited 24/7 free talk time offered for Rs.149 per month. The video service is to be rolled out in September, and plans will be announced in the coming months.

Airtime will be sold in denominations of Rs.500, which will be valid for three months from the time of purchase. Users may view their top-up and usage details for the last six months on the website.

At present, Nettlinx will provide services within the state since it has a Class B bandwidth distribution permit. However, it hopes to acquire a Class A permit in 3-6 months, and subsequently offer the services on a countrywide basis. The company also has a team of technicians and call center in place to address any technical issues.

Chandra Sekhar Pogula, VP - sales & marketing, Nettlinx has listed high initial investments of instruments as one inhibitor for enterprises/ home users to make a switch to VoIP. Also, similar services made by non-registered/ non TRAI regulation compliant outfits also affects business, as do high Internet subscription rates.

The company intends to target corporations, SMEs Government institutions, education institutions, call centers etc as major consumers of their services.