Now Camelot Corp. (NASDAQ:CAML) and Lucent Technologies (NYSE:LU) have signed a deal to incorporate packet voice technology from Lucent's Bell Labs into the next version of DigiPhone Internet telephony software.

Camelot says it will be basing its voice-over-the-Internet product on the Bell Labs Fidelity Plus speech codec. Under terms of the deal, Camelot will use the voice codec in future release of DigiPhone for PC 486 and Pentium platforms. The codec will be compatible with Windows 3.1, Windows 95, and Windows NT software.

According to the company, "in order to maximize the voice options available to them, DigiPhone users will be able to choose between the existing DigiPhone voice codec and the Bell Labs voice codec when making a call."

Newsbytes asked Carla Kienast, spokesperson for Camelot, what the difference will be between the two products. "The Bell Labs one is going to be the best, most advanced voice codec on the market," she said. "It's brand new, and they've spent a lot of time developing it, and we anticipate great enhancements in the clarity and the quality of voice transmissions in the DigiPhone product using this."

However, continued Kienast, "Under certain circumstances, there may be occasions where it might be advantageous for the user to use the one (codec) that's existing -- so we're having both of them available."

As to whether the DigiPhone codec will be phased out eventually, Kienast told Newsbytes, "We anticipate at this time that it will continue to be included."

Newsbytes notes that, despite earlier claims from some that they were unconcerned about the possible erosion of income from such activity, pressure is now mounting from telephone companies for the US government to step in and in some way regulate the technology. In reply to a Newsbytes question about the subject, Rineast said there is "a petition in front of the FCC asking for regulation of Internet telephony, but at this time there's no way of telling what the outcome will be -- although we have a very positive outlook on it."

She continued, "We've heard a lot of anecdotal comments from the FCC, including one from their chief economist who was speaking at the International Telephony Conference in London in April, when he said that 'What we need to do is not regulate this industry, but embrace it.' I think they realize that this is the next step in communication across the Internet, and that the best thing they can do is encourage this kind of advancement in the industry."

Bell Labs is the R&D arm of Lucent Technologies, while Dallas-based Camelot Corp. is a holding company with subsidiaries focusing on software development and distribution. Third Planet Publishing Inc. publishes DigiPhone and DigiPhone Deluxe software, an Internet phone system.

Additional information is available via the company's World Wide Web site at http://www.digiphone.com/.

(Ian Stokell/19960621/Press Contact: Carla Kienast, Camelot Corp., 214-733-3005, Internet e-mail ckienast@camelotcorp.com)

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