I live in Australia, Western Australia, and use VOIP very succesfully.
The company I use, Engin, has a variety of plans but I use the $19.95 one which allows me to talk to my family overseas for either free such as in England or for a 20 cent charge elsewhere and all local and long distance calls are free and untimed. Mobile (cell) calls are 22 cents a minute.
Yes, it's true that there is no VOIP phone when the power goes out but I have retained my land line for that very purpose and would have to have it anyway for broadband to happen.
I have been using VOIP for well over one year now and have had no problems. I bought a separate cordless phone for the Egin box and make all outgoing calls on it and all incoming calls are on the landline. This works extremely well as I am the Shire (district) Fire Management Officer and work from home most of the time.
The call quality is very good and most people don't realise that I am talking to them on a VOIP phone, I do have 512mbs speed and I have heard elsewhere that it doesn't work well with a lesser speed, the calls drop out. However, most people I know use 512mbs anyway.
I would highly recommend VOIP but you do need to check terms and conditions and to shop around to some degree.
I do believe this is probably the way of the future, I have gone from a bill of around $250 per month plus broadband to a bill of less than $100 for line rental, broadband and Engin.
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