The AP has a story about the encroaching use of WiFi phones to replace or enhance cellular usage. While there’s not a ton of new information for those who have been keeping up, it’s a nice overview of some of the products and services that are coming around the bend, like Motorola’s plan to develop phones that switch seamlessly from cellular to WiFi networks when available. It’s interesting, though, that some market research firms aren’t predicting a sudden boom in WiFi phone hardware (ABI Research predicts only $20 million by 2009). It will take a while to break the stranglehold of traditional POTS and cellular service over telephony, but I have a feeling that its a lot closer to breaking through than 2009.