T-Mobile Introduces Landline Business

June 25, 2008 9:45 a.m. EST

New York, NY (AHN) - T-Mobile USA, the country's fourth-largest cell phone carrier, Wednesday announced a new service letting customers make landline calls using the Internet.

T-Mobile AtHome, to start July 2, will cost $10 per month on top of a cell phone account plus requires customers purchase a $50 broadband router from the company. Subscribers can use their wired handset. The service is similar to Vonage which allows unlimited calling via the Internet for $25 per month.

In testing since February in Dallas and Seattle, the new program gives T-Mobile, with 28.7 million U.S. customers, entry into the landline business and competition for AT&T and Verizon, which offer both wireless and landline service.