Net telephones

CHINA will crack down on what it called illegal internet telephone providers, according to a circular from the Chinese government that could potentially affect Internet calling service Skype.

The statement, from the powerful Ministry of Information and Industry Technology, did not mention any carriers by name.

It called for a crackdown “on illegal VoIP (voice over Internet protocol) telephone services” and said it was collecting evidence for legal cases against them.

Skype, partly owned by web retailer eBay, has been growing in popularity among Chinese individuals and businesses to make cheap or free international phone calls.