We have had Vonage for over three years now. Almost all of our calls are long distance, and we need an unlimited long distance plan. Because we also need internet service for my employment, getting Vonage seemed like a logical choice.
When we first started with Vonage, our calls were constantly being dropped and would cut out all of the time. It took a lot of calls to customer service, but I was finally connected to a technician who determined that our modem was not compatible with the box they sent us. I had to purchase a new modem, which really sucked, but since then the service has worked well.
We cannot surf on sites like MySpace when using the phone, but for the price we pay per month, it is a sacrifice we are willing to make. One other thing to not is that we still keep a landline (local only) in case of an emergency (ie. without electricity - we do have 911 coverage), but we need to have a landline in order to get DSL service, so the $9 a month for the landline doesn't really matter to us.