I've had the MagicJack USB device for about 8 months... and honestly I like it. It was a bear to set up at first since I was using an unsupported OS - Windows 2003 Server SP2 - at first, now I've switched it to a Windows Vista machine without incident.

I'd not replace my home phone with it - having to have my machine on all the darn time for it is annoying - and honestly using it in conjunction with my GrandCentral account... it's worthwhile to have. Even worked well while traveling.

But I'd not compare it to Skype or Gizmo Project. It's more like a Vonage competitor that uses your main machine as the ATA adapter. And even though it's based off of software from SJ Labs - who they had purchased from my understanding - they don't allow you to have a software only iteration - not "officially".

The updates can be problematic though... I had my number once changed inexplicably to an 206 area code number. And one update basically required me to use their MagicFix software to recover.

And to hear the gripes and pluses about the company, hit up the ( http://unofficialmagicjack.forum2u.org/ ) Unofficial MagicJack Forum... the official one sorta got cleaned out... good information and all. Heck, I lost like 100 posts in their sorting out the Win2k3 Server issue(s) alone when they did that.

It's good, far from perfect, works great for me, but isn't something that I've recommended to all of my friends quite yet. Co-exists with my existing Vonage phone system without one issue - even used both at the same time on many occasions.

Hope that helps a bit.