HYDERABAD : Chief Minister Y. S. Rajasekhara Reddy has formally launched "Matallo" (Telugu for `in words') phones, a low-cost voice over Internet protocol service (VoIP), at his camp office on Monday.

Developed by Nettlinx in association with US-based Smart IMS, the service would be launched across the State under the brand name Matallo.

Dr. Reddy expressed happiness over a group of Telugu entrepreneurs coming together to provide the low cost service helping people keep in touch with their near and dear living abroad.

Nettlinx director Manohar Loka Reddy said the company would provide VoIP services with the help of special Matallo phones that would enable customers to communicate to international destinations. The service would benefit those who are not computer savvy and the service would work on broadband Internet connectivity.

It was planned to roll out various models like Matallo home, Matallo enterprise for voice as well as videophone that would offer high clarity video-stream helping callers conduct video-conferences. Nalgonda MLA K. Venkata Reddy was present, according to an official release.