A recent development in China that affects communication with China is China Telecom's disgruntlement with internet-based phone services such as Skype. For those not familiar with this program, Skype (www.skype.com) is a web-based freeware program that allows users to talk PC to PC free of charge and PC to land line at a very low cost. Initially, China cut out the use of Skype from PC to land line in major cities, but recently some have experienced difficulties when using the PC to PC function of the program as well. When China Telecom was asked about their beef with VoIP, they disclosed that only China Telecom and China Netcom (the country's other state-owned carrier) have legal permission to operate some test trials with VoIP but only then on a limited basis. There are threats that customers who use VoIP technology to make calls to a land line will be monitored and punishment could range from paying a fine to being cut off from using their broadband connection. China Telecom also added that these things were clearly spelled out in subscription contracts and that if this practice was allowed, it could destroy market order.
While VoIP communication is harder for the government to trace than land line calls, most think that the main reason for China's ban on Skype is simply financial rather than political. People who would normally have to use China Telecom's long-distance service are switching en masse to Skype for two reasons. One, China Telecom is over priced, and two, China Telecom offers its customers poor call quality.
So, how does this affect you, the American businessman? While it is true that many cities at this time in China are experiencing no problems at all when using Skype, one never knows when there will be a crackdown. The ChinaBizSuccess team suggests that you act now to devise a back-up plan for communication with China.
For calls from the US to China there should be no problem using Skype to call PC to PC (no charge at all) or PC to phone (cheapest rates this author knows of). The call quality is as good as or better than calls made over land lines. Another option would be another type of VoIP company like Vonage or Lingo. For a relatively small monthly fee, these companies offer unlimited calling to Asia, and Vonage even offers a wireless cell phone that can be used in conjunction with your laptop so that you can receive calls from Asia no matter where you are in the States right to your cell phone.
For calls from within China, you might still get away with using Skype in smaller cities for a while. If you want to use another VoIP company, we recommend Vonage. From personal experience, Vonage has fewer problems than Lingo. Lastly, while a little pricey, it is relatively simple to get a pre-paid calling card in China to call the States. This is not the cheapest option, but it might be easier for you if you're making a quick trip.
While those that have gotten used to using Skype are mourning its eminent loss, there are other ways to communicate with China. Let us help you stay on top of the latest communication trends, and prevent any breakdowns in communication with your Chinese contacts! Visit www.chinabizsuccess.com.