More in the China VoIP blocking saga.
Two weeks ago, US IP technology firm Verso announced that it had sold a trial version of its VoIP blocking software to a "tier one" telecommunications firm in China. Verso touted its NetSpective® M-Class product as being a great way for Internet service providers to limit their customers ability to use the full range of Internet services.
Skype CEO Niklas Zennstrom responded to Verso’s announcement by calling it a PR stunt in an interview with the Financial Times, claiming that he had no knowledge of VoIP being blocked in China through the use of Verso’s IP filtering product.
Enraged, Verso CEO Monty Bannerman shot back saying that Verso is indeed working with a Chinese telecom:
“Verso does have an executed trial agreement with a tier one carrier in China; however, at the request of the customer, we will maintain their anonymity until the trial is completed. We will not jeopardize an important business relationship to respond to baseless comments,” said Monty Bannerman, CEO, Verso Technologies. “Verso has been doing business in China for more than 10 years and we understand the market and its regulatory environment. In addition, it has been widely reported that Skype technology is illegal in China,” added Bannerman.
Verso’s press release continued to tout the benefits of IP service blocking, such as decreased vulnerability to viruses and lower bandwidth usage by customers. It’s clear that traditional telecommunications firms would prefer that customers not switch to cheaper VoIP services, and that Internet service providers would prefer that their customers use less bandwidth. It’s also clear that these benefits are in diametric opposition to the interests of customers who want access to VoIP.
Sadly, in a country where telecom is heavily regulated, as it is in China, IP service disablers like Verso probably stand to make a good deal of money – at the expense of the public.

11-22-2005 03:24:13
On the one hand of course, the blocking of VoIP ports on their broadband connections is the least of the worries of the average Chinese citizen.
On the other hand I guess Bannerman should be really proud of himself for his contribution to the repression of free communication in China. What an American thing to do!
11-23-2005 23:40:58
It’s unfair to accuse Verso for contributing to the repression of freedom in China. Whatever that Verso is selling is just a tool, someone will have to decide how it’s used, and i don’t think that someone is Verso…it’s more like their customer.
If going with the reason of those who blame Verso for what happen in China, then chipmaker the likes of Intel, AMD and Texas Instrument should be blamed for killing thousands of civilians as their chips are used in the manufacturing of weaponry. And those company who manufacture wire-tapping equipment will be as guilty for people who wiretap using their equipment, which contribute to an infringement of privacy, etc,etc …
11-29-2005 17:20:03
China Telecom is doing the right thing to block Skype.
It’s legitimate to block someone whose sole aim is to bury the traditional telcos, in a country that blocking is legal. Will it be the public interest for all the Chinese to pay money to Skype? Not so .
The point is: China should allow the domestic players to run VoIP to reach a full competition. Skype is good at P2P, and it is a 256 bit encrypted software. Why, because P2P is not a managed network, imagine if someone cracked it and write some virus…