By David Shamah Israel 21C
In these tight financial times, investors and venture capital companies won't part with even small funding commitments unless they really - but really - believe in a product. Much less $19 million. But iSkoot, an Israeli developed application that lets mobile phone users take full advantage of the Skype online phone system, inspires confidence, because of what the application does, and because of the people behind it.
At iSkoot, says company co-founder and CTO David Guedalia, it's all about making life easier for phone service suppliers, and their customers. "While there are many applications that let users make online phone calls, iSkoot is different, because our system doesn't overwhelm the service provider. Plus, it takes less of a toll on handsets," he tells ISRAEL21c.
Dialing into Skype
iSkoot allows callers to use a regular phone call to dial into an iSkoot gateway server. From there the call is completed via the Internet, as if you were using Skype from your computer.
The result: Users can hook into the Skype network from their cell phones, making long distance calls to other Skype users around the world for the price of a local call. And, they can make long distance calls to landlines using their Skypeout minutes. Users save money on their cell phone bills, and because the connections are made on iSkoot's hardware, service providers have less processing to do on their networks. Plus, the system also eliminates long distance termination fees due to other operators.
It's such a great idea, says Guedalia, that the Hutchinson's 3 network bundled iSkoot on its 3 Skypephone handset, a fully-featured 3G Internet phone that allows users to access Skype service from their cell phone. For Hutchinson and Skype, it's a natural: users dial in to their local number in order to access Skype services, and Skype gets contact with mobile users.
In its latest third round of financing led by the Vision Opportunity Master Fund, iSkoot, a 30-employee company, netted an additional $19 million in development money - amid rumors that the company is set to close a deal with another major cell phone operator, to build a mobile platform for them.
Guedalia, who founded iSkoot with brother Jacob (a third brother, Josh, who works with the team, makes iSkoot a family affair), has been tinkering with Internet/phone/voice services for years. His previous startup, which began life with the name Shoutmail (later called Mobilee), was eventually purchased by NMS Communications in the US.
Article courtesy Israel 21C