Gizmo5 was founded way back in 2003, it provides services like IM (instant messaging) and VoIP (voice over internet protocol) calls. It is a good application just like Skype. If you are an active user, Gizmo5 is a an ideal choice for you to make free calls to the standard phone network.
Recently Skype was in process of acquiring Gizmo5, but the IP (internet protocol) lawsuits seems to happen. Gizmo5‘s SIP (session initiation protocol) could swap Skype’s proprietary P2P (peer to peer) back end.
After the Skype resolution, though strategic value to Skype fall, Google bought Gizm05 for $30 million in cash.
Gizmo5 can be considered a good sign for Google products. For example the Google Talk, it does not provide PSTN (public switched telephone network) link to real phones, Gizmo5 does.
Also Google Voice, it is huge VoIP and phone identity service, but does not have end points for the calls. By integration of Gizmo5 in Google Voice users are able to make and receive calls to their Google Voice phone number form their computer.
The joining of Gizmo5 to Google Voice and Google Talk as a single product can be a threat to Skype. Gizmo5 has raised $6 million to date.