Proven to be iffy in the ’90s, another company is going to try that whole ‘free service’ angle in exchange for tolerating ads. What they had better remember is that unless that ads are remotely targeted, it will likely have some problems keeping this VoIP service afloat.

United Virtualities is offering at no charge software that consumers can use to manage their PC-originated telephone conversations in return for having advertising displayed in the product.

The new software is the latest example of how companies are testing voice over Internet protocol as a potential advertising channel. Yahoo Inc., for example, lets users of its ad-carrying instant messaging service talk over the Internet via a PC microphone and headset, and America Online Inc. is testing a VoIP service.

United Virtualities’s HotRecorder can be used with many PC-based VoIP services, such as those from Skype Technologies SA, Net2Phone Inc. and Yahoo. [Read the rest]