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No sooner had AT&T announced a $5.00 a month cut in its VoIP service effective Friday, than Vonage Holdings dropped its VoIP monthly charge by $5.00, thereby remaining $5.00 below AT&T’s charge.

With the new prices, AT&T’s monthly charge is $29.99, while Vonage’s price is $24.99. Both services are similar, offering local and long-distance service in the U.S. and Canada, in addition to a host of advanced features, such as call forwarding, which can be managed over users’ PCs.

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