Users in our forums note that AT&T has quietly stopped offering CallVantage VoIP service to new business or residential customers. CallVantage was introduced into the market back in 2004 by AT&T as a delayed response to continued landline losses and VoIP competition, and is frequently bundled with both DSL and U-Verse VDSL service. However, the service becomes expendable as AT&T moves all services onto the same IP network; AT&T previously stating CallVantage had "capacity issues." From AT&T's website:The slow death of CallVantage isn't particularly surprising, given that AT&T wants their U-Verse Voice brand to supplant the older CallVantage service, and AT&T stopped pushing CallVantage through affiliate channels last month. It's the timing that seems a little premature, given that neither U-Verse or U-Verse Voice are available in the vast majority of AT&T markets. U-Verse Voice isn't even available in all U-Verse VDSL-upgraded markets.

Most likely, AT&T found that their CallVantage service, which can be had for $20 a month if you're an AT&T Wireless, DSL or U-Verse customer, was undercutting their $30-$40 U-Verse Voice products in markets where U-Verse Voice was deployed. It was also likely accelerating AT&T's already steep landline losses. It's possible that AT&T is coming out with a new VoIP service they plan to aim squarely at existing DSL customers that costs more.

I asked an AT&T spokesman for additional detail, and was told "we have nothing additional to announce at this time" outside of what was already posted on the CallVantage website. When asked if existing customers had anything to worry about, AT&T informed me "there's nothing impacting existing customers today."