I wouldn't be surprised to see AT&T CallVantage service come to an end. Tom Keating has more on what is speculation at the moment. UVerse is obviously a competitive product to CallVantage but you need AT&T DSL to get it. Here is the reason that CallVantage service probably needs to be phased out.

AT&T is no a network neutrality advocate and in order for CallVantage to have acceptable QoS levels, they would need other carriers to adhere to Net Neutrality. CallVantage service doesn't bring in a great deal of money and price wars with Vonage and others make it virtually impossible for the major telecom company to make money from what some call a "parasitic" service. Personally I never liked this term by the way.

The reason CallVantage makes sense to keep is that it allows AT&T to become more firmly entrenched in other countries without the need to draw wires or fiber to households.

I am interested in seeing how this plays out and whether AT&T would consider spinning this unit off to another company. If so, who would buy it? 8x8? Vonage? Or will AT&T just shut it down and not deal with the hassle of selling their valuable customer list?

I will keep you posted on what is speculation at the moment.