Vonage launches world's smallest phone

The 250MB flash drive stores all contacts and call records just like a standard handset.

Vonage , the internet telephone company, has launched what is surely the world's smallest phone. The V-Phone is the size of a USB stick and is essentially a portable telephone landline.

The phone comes with the pre-installed Vonage Talk software, which makes the phone ready to be used once it's plugged into a broadband-enabled PC (it's not yet Mac compatible). You don't even have to restart your computer, which is handy. There's no battery, the V-Phone charges up from the computer's power supply.