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PhoneFree.com

Telecom · United States · Founded 1998

Leading internet-based multimedia communications company MoreLess

PhoneFree.com was an internet-based multimedia communications company that emerged during the dot-com era, founded in 1998 with headquarters in New York City. The company operated in the Voice over Internet Protocol (VoIP) market, providing services that allowed users to make phone calls over the internet. The leadership team, which included CEO Jan Robert Horsfall, was comprised of former marketing members from Lycos.

The business initially garnered attention by offering free domestic phone calls from personal computers to traditional phones, a model supported by advertising revenue. Users could download the company's software to make PC-to-PC calls globally for free and PC-to-phone calls within the U.S. The company's revenue strategy was diversified, relying on the sale of products, equipment, and other services to subsidize the free calling options. The target market included both residential customers and corporations seeking to reduce long-distance call expenses. A key service was the 'Global WebOperator,' which enabled users to connect two telephones anywhere in the world at rates cheaper than traditional carriers.

The company's trajectory shifted in response to market pressures, particularly a slowdown in advertising sales. In January 2001, PhoneFree.com transitioned from its free, ad-supported model to a fee-based service, charging 2 cents per minute for domestic PC-to-phone calls to cover the network usage fees charged by traditional phone companies. The company also planned to introduce hardware that connected to broadband modems, allowing customers to use regular phones for internet calls. Despite securing significant venture capital, including a $42 million Series B round in May 2000 from investors like Blackstone and Millennium Technology Value Partners, PhoneFree.com ultimately ceased operations and is now considered a deadpooled company.

Keywords: VoIP services, internet telephony, PC-to-phone calls, Jan Horsfall, dot-com era, telecommunications, online communication, free calls, Blackstone, Millennium Technology Value Partners, ad-supported, Global WebOperator, voice over IP, telecom service provider, New York startup, communications software, long-distance calls, internet calling, PC-to-PC, deadpooled

Company overview

PhoneFree.com company information

The essential company record, classifications and operating signals in one place.

Status
Operational
Founded
1998
Headquarters
United States
Employees
Open positions
None listed
Dealroom signal
16.0
Investment activity
1 companies · latest Sep 2000
Capital deployed
Preferred round
ACQUISITION
client focusb2bsectorCommunitysectorCommunicationindustryTelecom

Valuation & funding

PhoneFree.com funding history

Company financing events and reported valuations.

Deal typeDateAmountValuationInvestorsSource
LATE VCEquity / VC May 2000 $42M $168M EFO Holdings · Novo Networks · Cain Capital · Blackstone
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Growth signals

PhoneFree.com website traffic

Latest recorded traffic for PhoneFree.com is 300 monthly website visits.

Latest monthly visits300
Monthly website visits37 observations · Oct 2017–Jan 2023
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Comparisons

PhoneFree.com compared with similar companies

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Showing 8 of the closest matchesCompare every metric →

Capital deployed

PhoneFree.com investments and acquisitions

Recent portfolio relationships for companies that also act as investors or acquirers.

Talent graph

PhoneFree.com's talent

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Founders Hidden — book a demo/100 quality score
Key operators Hidden — book a demo quality score
Potential founders Hidden — book a demo likely future founders
Startup mafia Hidden — book a demo alumni-founded startups
Talent movements Hidden — book a demo in · Hidden — book a demo out past 12 months

Source: Dealroom Talent Intelligence.

Investors

4 investors on PhoneFree.com's cap table

Sourced from Dealroom's funding and investor records. Investor profile links are shown where available.

Series B+ 4 investors entered at this stage
Novo Networks
Blackstone
EFO Holdings
Cain Capital

Global footprint

Where PhoneFree.com has talent and traffic

Workforce by country
🇺🇸 United States HQ
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In the news

Latest news about PhoneFree.com

Recent press, funding announcements, and product moves mentioning PhoneFree.com — open to read from the original sources.

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Market sentiment

What the market is saying about PhoneFree.com

An AI-synthesized read of the highest-engagement posts about PhoneFree.com on X over the past 7 days. We rank by likes & retweets, ignore corporate channels, and surface the themes that broke out from real people.

Reading the room on X — pulling top posts and synthesizing themes…

Source: X recent search ranked by engagement (likes + retweets) · Synthesis by Claude · Cached for 1 hour

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