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Ooma's arrested product development

PhoneGnome Box vs. Ooma HubValleywag has already noted the curious resemblance of Andrew Frame, the founder of VOIP startup Ooma, to "Arrested Development" character George Oscar Bluth II, a failed magician. But that's not the only curious resemblance we've spotted, now that Ooma's launched its long-delayed product. It turns out that Ooma's Hub, a $399 pice of hardware for making cheap Internet calls, competes with a $99 product that does the same thing and is already on the market.

The Ooma Hub looks slicker than the PhoneGnome Box, which retails for $99. And of course, PhoneGnome doesn't have a Hollywood star hawking its device, while Ooma does in the form of "creative director" (read: overpaid spokesman) Ashton Kutcher. Despite the surface difference, Ooma's feature list — 911 calls through regular phone lines, free calls to "members" — is so similar to PhoneGnome's that we can't help wondering if Ooma founder Andrew Frame, desperate to launch his long-delayed startup, didn't just crib Ooma's product plan from PhoneGnome. And jack up the price fourfold. Because everything costs more in Hollywood, of course.

10:52 PM on Thu Jul 19 2007
By Owen Thomas
8,338 views
10 comments

Comments

  • Maybe we're being punk'd by ashton...and this is only a phony distraction until the real product comes out...

  • Right, the $399 piece of hardware is going to compete with the $99 piece of hardware... Come on!

  • Probably Ooma couldn't get Uma as their Hollywood spokesperson, so they settled for Ashton Kutcher. Love that they claim Ashton is involved on a day-to-day basis, and even designed the marketing scheme and logo. As if. And their "product shots" are still just renderings. Plus, they seem to expect a lot of early adopters to keep their old phone lines in order to provide cheap p2p long distance calls to all major destinations. Cheap for Ooma that is. Wait a second, so I already pay for a regular phone line as a backup and to make 911 calls that you want to use for your infrastructure. And a broadband connection (over which I could already make Skype calls). Why again do I desperately need your service?

  • Wow that makes Ooma even more worthless.

  • PhoneGnome has a "whole house wiring kit" that adds additional phonelines at half the Ooma scout too...

  • Because overpriced style never wins out over substance, right?

  • Without going into specifics of Ooma VS GnomeBox (because I had no chance to test either) I still simply must point out that, in world of computer gear, there's hardware, and then there's hardware.

    Great example are various network switches / routers. Sure, you can get one, a no-name standard 10/100 (or even 1gbit) router, 8-port, with 802.11 b/g WAP built in, for under $20. However, do so and in a week you'll most likely be back in the store looking for a reliable brand like LinkSys - even if it costs $60-100.

    Just because they 'do the same thing' and 'have the same features' does not mean Gnome and Ooma actually contain identical internal hardware structure, firmware solutions, reliability factor or, for that matter, customer support.

    With that being said, a double disclaimer:

    First, I tested neither piece of hardware. I can't and won't claim one is better or worse than the other. I'm merely pointing out the spurious logic of arguing ridiculousness of price disparity.

    Second, in the world where everyone and their dead grandma owns a networked PC, and freeware / cheapware VOIP solutions abound, anyone going out and buying a dedicated 'VOIP' box is one of three things: a business owner who needs an absolutely reliable hardware/software solution, a luddite who simply doesn't dare try things like Skype, Ventrilo or any other solution of a sort - or a sucker.

  • The PhoneGnome box can only call other PhoneGnome boxes ....And you called me out Owen on a Post the other day and said I wasnt a "Reader" on the Pownce "article" you wrote may be you should learn to become a Journalist and actually do some research ;)....As I said bring Nick Douglas back we like him more :P

    Step 1:You buy the box. You plug it in. You make free calls to any PhoneGnome member and users on other compatible VoIP services - 25 million people and growing. If that's all you want to do, you're done. No fuss, no hassles. No risk. 911 works. You keep your current number. It couldn't be simpler. You don't need to set up a separate bat phone - you just use the phone you already have and dial plain phone numbers. Free calls will be free and other calls will use your current phone service - no new bills

  • Just like the iPhone does everything a $99 Motorola can

  • Image of Owen Thomas Owen Thomas at 04:25 PM on 07/20/07 *

    @Matt_: Hate to call you out again for your poor reading-comprehension skills, but you don't have to buy the box to be a PhoneGnome member and get free calling. Better luck next time!

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