This is the name of a device that you plug into a USB port, allowing you to make phone calls from a regular phone to U.S. [and Canadian] numbers for free. The license fee is $40 for the first year (includes the device), and $20 for the next year. It supposedly works over any high-speed line, including outside the U.S. (but you can only call U.S. [and Canadian] numbers). I started using it last night. It took about three seconds to plug the device in, and another 2 minutes to get the software set up. I was assigned a local number, though local numbers are only available sporadically. Anyway, really amazing! I mostly use my cell phone for long distance, and Magic Jack makes much clearer calls, on both ends. I can't imagine how Vonage and other companies charging $20 plus per month for essentially the same service will compete.