Soundbite: "...she uses an Internet telephone, as do her parents. And so do more than 2 million other people in Japan."
So VoIP is finally eleminating old phone service (which will hopefully end up producing a better dialing interface than phone numbers), and WiFi is set to stun everyone between right now and the next year or so. If Nikolaj has anything to say on the matter WiFi will be a transparently available commodity in urban centers Real Soon Now. Then we just need a WiFone and mobile phone companies will start to look like a bad idea. In particular the outrageous pricing schedule for data traffic on GPRS networks will look like a very bad idea. Talk about blowing momentum.
And of course the really scary thing is that I am sooo late in reporting this story. In places that get it (US metropolitan areas) it is already there.