Google does telephony

GOOGLE has tweaked it s GrandCentral service into a new offering called Google Voice, putting it up against telephone services like Skype.

Google Voice takes the existing GrandCentral service, which consolidates landlines and mobile numbers into a single phone number with voicemail, and adds the ability to make free domestic calls, transcribe voice mails and allow conference calls for up to six participants.

The application improves the way you use your phone, said the company in a blog posting.

Users can get transcripts of voicemail and archive and search all of the SMS text messages you send and receive. You can also use the service to make low-priced international calls and easily access Goog-411 directory assistance.”

The move will worry internet telephony providers like Skype but will also affect traditional telephony providers by providing services for free that constitute a major part of their revenue streams.

Google acquired GrandCentral in July 2007 but has done little to devlop the service until now. Existing GrandCentral users can use the services immediately and Google will open up the application to new users in the next few weeks. µ