NetTalk.com (NTLK) 10-Q 18 Nov 15 2015 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 12, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Entity Registrant Name	NET TALK.COM, INC.
Entity Central Index Key	1,383,825
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	NTLK
Entity Common Stock, Shares Outstanding		299,937,174

Balance Sheets

Balance Sheets - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 98,363	$ 372,284
Restricted cash	115,530	115,530
Accounts receivable, net	9,162	82,739
Inventory	144,824	680,963
Total current assets	367,879	1,251,516
Property and equipment, net	2,703,774	2,706,426
Intangible assets, net	68,969	72,195
Development costs	131,517	377,172
Other assets	27,253	30,589
Total assets	3,299,392	4,437,898
Current liabilities:
Accounts payable	2,200,837	2,149,333
Accrued expenses	2,281,623	1,448,642
Due to Shareholder	117,035	250,912
Deferred revenue	2,120,151	2,056,515
Current portion of long-term debt	7,229,566	4,580,000
Total current liabilities	13,949,212	10,485,402
Long term debt	200,000	2,996,155
Total liabilities	14,149,212	13,481,557
Stockholders' deficit:
Common stock, $.001 par value, 300,000,000 authorized, 299,937,174 and 121,398,391 issued and outstanding as of September 30, 2015 and December 31, 2014	299,937	121,407
Additional paid in capital	55,461,537	55,217,688
Accumulated deficit	(66,611,294)	(64,382,754)
Total stockholders' deficit	(10,849,820)	(9,043,659)
Total liabilities and stockholders' deficit	$ 3,299,392	$ 4,437,898

Balance Sheets _Parenthetical_

Balance Sheets [Parenthetical] - $ / shares	Sep. 30, 2015	Dec. 31, 2014
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	299,937,174	121,398,391
Common stock, shares outstanding	299,937,174	121,398,391

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Net revenues	$ 985,782	$ 1,209,473	$ 3,255,570	$ 3,661,964
Cost of revenues	352,576	826,226	1,253,566	2,350,857
Gross profit	633,206	383,247	2,002,004	1,311,107
Operating expenses	1,109,541	901,496	3,319,253	2,588,454
Operating loss	(476,335)	(518,249)	(1,317,249)	(1,277,347)
Other expenses
Interest expense	(174,663)	(163,770)	(525,699)	(395,682)
Other expense	0		(384,680)
Other expenses	(174,663)	(163,770)	(910,379)	(395,682)
Net loss	$ (650,998)	$ (682,019)	$ (2,227,628)	$ (1,673,029)
Basic and diluted loss per common share (in dollars per share)	$ 0	$ (0.01)	$ (0.01)	$ (0.02)

Statements of Cash Flows

Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flow used in operating activities:
Net loss	$ (2,227,628)	$ (1,673,029)
Adjustments to reconcile net loss to net cash used in operations:
Depreciation and amortization	203,045	212,695
Loss on disposal of assets	197,840	0
Recognition of deferred revenue	(2,522,891)	$ (2,855,739)
Loss on disposal of property and equipment	47,135
Changes in assets and liabilities:
Accounts receivables	73,577	$ 89,933
Prepaid expenses and other assets	0	(300,511)
Inventories	536,139	(4,837)
Other assets	3,336	(4,584)
Deferred revenues	2,586,527	2,979,108
Accounts payable	142,437	(127,490)
Accrued liabilities	982,981	461,571
Net cash provided by (used in) operating activities	22,498	(1,222,883)
Cash flow used in investing activities:
Restricted cash	0	68,400
Property and equipment additions	(32,349)	(20,996)
Development costs	(165,050)	(404,860)
Net cash used in investing activities:	(197,399)	(357,456)
Cash flow (used in) provided by financing activities:
Proceeds from promissory and demand notes	$ 25,000	1,550,377
Issuance of common stock		131,148
Due to shareholder	$ (124,020)	(30,420)
Net cash (used in) provided by financing activities	(99,020)	1,651,105
Net (decrease) increase in cash	(273,921)	70,766
Cash and cash equivalents, beginning	372,284	76,791
Cash and cash equivalents, ending	98,363	147,557
Supplemental disclosures:
Cash paid for interest	126,000	126,000
Cash paid for income taxes	0	0
Non-cash transactions:
Issuance of common stock from conversion of convertible notes	171,589	0
Issuance of common stock from paydown of accounts payable	90,933	0
Issuance of common stock from paydown of accrued expenses	150,000	0
Issuance of common stock from paydown of due to shareholders	9,857	0
Cancellation of convertible notes	0	500,000
Reduction of accounts payable from Telestrata agreement	0	928,782
Conversion of demand notes to Telestrata promissory note	$ 0	$ 837,373

Description of Business and Bas

Description of Business and Basis of Presentation	9 Months Ended
	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	Note 1 – Description of Business and Basis of Presentation Description of Business NET TALK.COM, INC. (“netTALK” or the “Company”) was incorporated on May 1, 2006 under the laws of the State of Florida, under the name Discover Screens Inc. On September 10, 2008 the Company changed its name to NET TALK.COM INC. The Company provides ultra-low cost home phone and smartphone communications. netTALK’s global communications network supports its flagship products which are the DUO home phone service and CONNECT mobile apps. The DUO home phone service provides local and long distance calling throughout the United States and Canada and the complementary CONNECT mobile apps provide a unified communications experience whether at home or on-the-go. The company provides this high tech, easy to use and ultra-low cost service with just one bill once a year. Additionally, the company leverages its extensive call termination agreements to offer wholesale call terminations to other carriers – powered by its carrier grade and proprietary VoIP switching platform. The company believes everyone should have access to easy to use, affordable at home or on-the-go digital phone service around the world. In the third quarter of 2015, the Company formed a wholly-owned subsidiary named netTALK Wireless LLC. The subsidiary was formed to participate in buying and reselling mobile cellular services. Basis of Presentation The accompanying unaudited condensed interim financial statements are presented in U.S. dollars in conformity with accounting principles generally accepted in the United States (“GAAP”) and have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for reporting of interim financial information. Pursuant to such rules and regulations, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. However, the unaudited condensed interim financial information includes all adjustments which are, in the opinion of management, necessary to fairly present the financial position and the results of operations for the interim periods presented. The operating results for the three and nine months ended September 30, 2015, are not necessarily indicative of the results that may be expected for future fiscal quarters of 2015, for the year ending December 31, 2015, or for future periods. The significant accounting principles used in the preparation of these unaudited condensed interim financial statements are the same as those used in the preparation of the annual audited financial statements. These statements should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, and other Company filings with the Securities and Exchange Commission.

Going Concern and Liquidity

Going Concern and Liquidity	9 Months Ended
	Sep. 30, 2015
Going Concern and Liquidity [Abstract]
Going Concern and Liquidity [Text Block]	Note 2 - Going Concern and Liquidity We have never sustained profits and our losses could continue. Without sufficient additional capital to repay our indebtedness as it matures, we may be required to significantly scale back our operations, significantly reduce our headcount, seek protection under the provisions of the U.S. Bankruptcy Code, and or discontinue many of our activities which could negatively affect our business and prospects. Our current efforts to raise capital may not be successful on terms satisfactory to the Company, or at all. We incurred net losses of $ 650,998 2,227,628 682,019 1,673,029 7,429,566 7,229,566 1,400,000 25,000 13,581,333 Our current cash resources, together with anticipated future cash flows from operating activities, may not be sufficient to fund our operations or repay debt that is maturing in 2015 or that is due on demand. In light of these circumstances, we are seeking additional capital through public or private debt or equity financing. However, there are no assurances that those efforts will be successful or that additional capital will be available on terms that do not adversely affect our existing stockholders or restrict our operations, if it is available at all. Also, any equity financing we receive would likely be substantially dilutive to our stockholders, particularly in light of the prices at which our common stock has been recently trading. In addition, if we raise additional funds through the sale of equity securities, new investors could have rights senior to our existing stockholders. The terms of any future financings may restrict our ability to raise additional capital, which could delay or prevent the further development or marketing of our products and services. Our need to raise capital before the repayment of our debt becomes due may require us to accept terms that may harm our business or be disadvantageous to our current stockholders. The accompanying financial statements have been prepared and are presented assuming the Company’s ability to continue as a going concern. The Company has incurred significant recurring losses from operations and is dependent on outside sources of funding for continuation of its operations. Our independent registered public accounting firm issued its report dated April 15, 2015, in connection with the audit of our financial statements as of December 31, 2014, that included an emphasis of a matter paragraph describing the existence of conditions that raise substantial doubt about our ability to continue as a going concern. The accompanying financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might result from the outcome of this uncertainty. In order to address the need to satisfy our continuing obligations and realize our long term strategy, management has been reviewing various strategic alternatives and has taken several steps and is considering additional actions to improve our operating and financial results, which we hope will be sufficient to provide the Company with the ability to continue as a going concern, including the following: ⋅ Establish and build strategic alliances and partnerships with companies offering complimentary products and services providing synergies for those involved. ⋅ Leverage our extensive call termination agreements to offer wholesale call terminations to other carriers powered by our carrier grade propriety VoIP switching platform. ⋅ Rental of available collocations space in our data center as well as available space on our telecommunications tower. ⋅ Aggressively pursue new revenue by utilizing our mobile applications for use by our current and future subscriber base. There can be no assurance that the actions outlined above will be successful or any new financing or equity infusion will be available or that we could obtain any such arrangements on terms suitable to us. The financial statements do not include any adjustments that might result from the outcome of the uncertainty.

Summary of Accounting Policies

Summary of Accounting Policies	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	Note 3 - Summary of Accounting Policies The following is a summary of significant accounting policies used in preparing the Company’s financial statements and recent accounting pronouncements that may impact our financial statements. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and footnotes. Significant estimates inherent in the preparation of our financial statements include developing fair value measurements upon which to base our accounting for acquisitions of intangible assets and issuances of financial instruments, including our common stock. Our estimates also include developing useful lives for our tangible and intangible assets and cash flow projections upon which we determine the existence of, or the measurements for, impairments, allowance for billing adjustments, doubtful accounts and allocation of prices between device and telecom services. Our estimates and assumptions are based on experience, historical trends identified by management, telecommunications industry trends and the overall economic condition in the United States and abroad. Actual results could differ significantly from these estimates and assumptions, and the differences could be material. Our future results of operations and financial condition will be affected by many factors including the following: dependence on the worldwide telecommunication markets characterized by intense competition and rapidly changing technology, on third-party manufacturers and subcontractors, on third-party distributors in certain markets, and on the successful development and marketing of new products in new and existing markets. Generally, we are unable to predict the future status of these areas of risk and uncertainty. Revenue Recognition We generate revenue from product sales, telecom services, mobile app sales, shipping and handling charges and leasing cell tower and co-location rack space in our operations center. We recognize all our revenues in accordance with ASC 605, Revenue Recognition and SAB 104 as follows: when evidence of an arrangement exists, in the case of products, when the product is shipped to a customer, or in the case of telecom services, when the service is used by the consumer, when the fee is fixed or determinable and amounts are collectible from the customers. We recognize revenue for a device sale when the product is shipped and the customer is invoiced for retail sales and when the customer completes the transaction for internet sales. We recognize revenue for telecom service prorata monthly as the service is used. Revenue for shipping costs billed to customers are included as a component of product sales. The associated cost of shipping is included as a component of cost of product sales. The initial sale of our device includes telecom service ranging from 1 12 We bill international calls as earned from our customers. International calls are prepaid and customers account is debited as minutes are used and earned. We consider all highly liquid cash balances and debt instruments with an original maturity of three months or less to be cash equivalents. We maintain cash balances only in domestic bank accounts, which at times, may exceed FDIC limits of $ 250,000 Inventories are stated at the lower of cost or market. Cost is determined using the first-in first-out method. Obsolete inventory is reserved for, if necessary, and there is zero reserve at September 30, 2015 and December 31, 2014. Property and equipment includes assets acquired which consist of network equipment, computer hardware, furniture and purchased and internally developed software. All of our equipment is stated at cost with depreciation expense calculated using the straight line method over the estimated useful lives of related assets, which range from three to thirty-five years. The costs of r e Intangible assets includes trademarks, patents and employee agreements. All of our intangible assets are stated at cost with amortization expense calculated using the straight line method over the estimated useful lives of related assets, which range from two to twenty years. The costs of repairs and maintenance is charged to operating expenses unless it increases the asset’s useful life more than one year. We evaluate our tangible and definite-lived intangible assets for impairment annually or more frequently in the presence of circumstances or trends that may be indicators of impairment. Our evaluation is a two-step process. The first step is to compare our undiscounted cash flows, as projected over the remaining useful lives of the assets, to their respective carrying values. In the event that the carrying values are not recovered by future undiscounted cash flows, as a second step, we compare the carrying values to the related fair values and, if lower, record an impairment adjustment. For purposes of fair value, we generally use replacement costs for tangible fixed assets and discounted cash flows, using risk-adjusted discount rates for intangible assets. The Company develops software for both internal and external use. The following describes netTALK’s policies and procedures regarding expensing versus capitalizing software development costs. We capitalize costs of software to be sold, leased or marketed in accordance with FASB ASC 985-20. We account for our software development costs as costs incurred internally in creating a computer software product and charge such costs to expense when incurred as research and development until technological feasibility has been established for the product. Technological feasibility is established upon completion of a detail program design or completion of a working model. Capitalization of costs stops when the product is available for general release to customers at which point the capitalized costs are amortized over the software’s useful life. We capitalize costs for internally developed software in accordance with FASB ASC 350-40. Costs incurred in the preliminary project stage are expensed as incurred. Preliminary project stage includes conceptual formulations and evaluation of alternatives, determination of existence of needed technology and final selection of alternatives. Costs incurred in the application development stage are capitalized as incurred and includes design of chosen path, configuration, coding, installation of hardware, and testing. Capitalization of costs stops after software implementation at which point the capitalized costs are amortized over the software’s useful life. As of September 30, 2015 and December 31, 2014, the Company had development costs of $ 131,517 377,172 Certain reclassifications have been made to prior year financial statements in order to conform to the current year’s presentation. NetTalk adopted a 2010 Stock Option Plan, a 2011 Stock Option Plan, a 2012 Stock Option Plan and a 2015 Stock Option Plan (the "Plans") which are intended to advance the interests of the Company’s shareholders by enhancing the Company’s ability to attract, retain and motivate key individuals by providing such persons with equity ownership opportunities and performance-based incentives, thereby better aligning the interests of our employees and consultants with those of the Company. The 2015 Stock Option Plan is currently restricted. See legal proceedings for further discussion. All of the Company’s employees, officers, and directors, and those Company’s consultants and advisors (i) that are natural persons and (ii) who provide bona fide services to the Company not connected to a capital raising transaction or the promotion or creation of a market for the Company’s securities, are eligible to be granted options or restricted stock awards under the Plans. The shares are compensatory in nature and are fully vested upon issuance. We value the shares consistent with fair value at the time of issuance including adjustments for certain restrictions and limitations. Share–based compensation cost to employees is recorded as compensation expense and is recognized over the service period. Share–based payments to non–employees are recorded as consulting expense and is recognized over the service period. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of valuation hierarchy are defined as follows: Level 1 - inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. Level 3 - inputs to the valuation methodology are unobservable and significant to the fair value measurement. Financial instruments, as defined in the Accounting Standards Codification 825, Financial Instruments, consist of cash, evidence of ownership in an entity, and contracts that both (i) impose on one entity a contractual obligation to deliver cash or another financial instrument to a second entity, or to exchange other financial instruments on potentially unfavorable terms with the second entity, and (ii) conveys to that second entity a contractual right (a) to receive cash or another financial instrument from the first entity, or (b) to exchange other financial instruments on potentially favorable terms with the first entity. Accordingly, our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities, secured convertible debentures, and derivative financial instruments. The carrying amounts of debt obligations approximate their fair values as the terms are comparable to terms currently offered by local lending institutions for arrangements with similar terms to industry peers with comparable credit characteristics. We carry cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities at historical costs since their respective estimated fair values approximate carrying values due to their current nature. We also carry convertible debentures and redeemable preferred stock at historical cost. Derivative financial instruments, as defined in Accounting Standards Codification 815-10-15-83, Derivatives and Hedging, consist of financial instruments or other contracts that contain a notional amount and one or more underlying (e.g. interest rate, security price or other) variable, require no initial net investment and permit net settlement. Derivative financial instruments may be free-standing or embedded in other financial instruments. Further, derivative financial instruments are initially, and subsequently, measured at fair value and recorded as liabilities or, in rare instances, assets. Our primary manufacturer accounted for approximately 13 23 21 34 One of our customers presently operates under a consignment agreement. Under the agreement we sell and ship merchandise to our customer, and collect payments upon the sale of our product to the ultimate (final) consumer. Revenue is recognized upon payment from our customer. Redeemable preferred stock is initially evaluated for possible classification as liabilities under Accounting Standard Codification 480, Distinguishing Liabilities from Equity. Redeemable preferred stock that does not, in its entirety, require liability classification is evaluated for embedded features that may require bifurcation and separate classification as derivative liabilities under Accounting Standards Codification 815. In all instances, the classification of the redeemable preferred stock host contract that does not require liability classification is evaluated for equity classification or mezzanine classification based upon the nature of the redemption features. Generally, any feature that could require cash redemption for matters not within our control, irrespective of probability of the event occurring, requires classification outside of stockholders’ equity. Basic loss per common share represents our loss applicable to common shareholders divided by the weighted average number of common shares outstanding during the period. Diluted loss per common share gives effect to all potentially dilutive securities. We compute the effects on diluted loss per common share arising from warrants and options using the treasury stock method or, in the case of liability classified warrants, the reverse treasury stock method. We compute the effects on diluted loss per common share arising from convertible securities using the if-converted method. The effects are all anti-dilutive and are excluded. Assets are probable future economic benefits obtained as a result of past transactions or events. Legal fees and other costs incurred for successfully defending a patent from infringement are considered deferred legal costs in the sense that they are part of the cost of retaining and obtaining the future economic benefit of the patent as per Statement of Accounting Concept No. 6. If defense of the patent lawsuit is expected to be successful, costs may be capitalized to the extent of an evident increase in the value of the patent per TIS Section 2260. On February 27, 2015, all claims and counterclaims have been dismissed and, as a result, the previously deferred legal costs incurred to defend our patent have been expensed as of December 31, 2014. In May 2014, the FASB issued standard ASU 2014-09, Revenue from Contracts with Customers that provides a single, comprehensive revenue recognition model for all contracts with customers. The standard is principle-based and provides a five-step model to determine the measurement of revenue and timing of when it is recognized. The core principle is that a company will recognize revenue to reflect the transfer of goods or services to customers at an amount that the company expects to be entitled to in exchange for those goods or services. This standard is effective for our interim and annual reporting periods beginning after December 15, 2017 and allows for either full retrospective adoption or modified retrospective adoption. We will adopt this guidance on January 1, 2018, and are currently evaluating the impact on our financial statements.

Accounts Receivable

Accounts Receivable	9 Months Ended
	Sep. 30, 2015
Receivables [Abstract]
Financing Receivables [Text Block]	Note 4 – Accounts Receivable Trade accounts receivable consisted of the following at: September 30, December 31, 2015 2014 Accounts receivable, gross $ 11,037 $ 137,411 Allowance for returns and doubtful accounts (1,875) (54,672) Accounts receivable, net $ 9,162 $ 82,739

Inventory

Inventory	9 Months Ended
	Sep. 30, 2015
Inventory Disclosure [Abstract]
Inventory Disclosure [Text Block]	Note 5 – Inventory Inventories, recorded at lower of cost or market, are as follows: September 30, December 31, 2015 2014 Finished goods $ 144,824 $ 680,963 Total $ 144,824 $ 680,963 Inventory is recorded at the lower of cost or market. Of our total finished goods inventory, at September 30, 2015 and December 31, 2014, $ 10,636 35,711 During the three and none months ended September 30, 2015 and 2014, there were no write-downs of obsolete inventory.

Property and equipment

Property and equipment	9 Months Ended
	Sep. 30, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment Disclosure [Text Block]	Note 6 – Property and equipment Property and equipment consisted of the following at: Estimated September 30, December 31, Useful Life 2015 2014 Telecommunication equipment 7 $ 398,081 $ 373,089 Computer equipment 5 174,043 171,659 Building 35 2,448,364 2,448,364 Building improvements 10 91,414 86,442 Office equipment and furnishing 7 48,212 48,212 Purchased and developed software 3 277,534 124,728 Land 270,000 270,000 3,707,648 3,522,494 Less: accumulated depreciation (1,003,874) (816,068) Property and equipment, net $ 2,703,774 $ 2,706,426 Our property and equipment is located in our network operations center and corporate offices which are housed in the same building. Depreciation expense for the nine months ended September 30, 2015 and 2014 was $ 199,819 174,789

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets Disclosure [Text Block]	Note 7 - Intangible Assets Intangible assets consisted of the following at: Estimated September 30, December 31, Useful Life 2015 2014 Trademarks National and International 5 $ 332,708 $ 332,708 Employment agreements 3 225,084 225,084 Knowhow and specialty skills 3 212,254 212,254 Workforce 3 54,000 54,000 Patents 20 93,747 93,747 Finance cost 2 83,280 83,280 1,001,073 1,001,073 Less: accumulated amortization (932,104 ) (928,878 ) Intangible assets, net $ 68,969 $ 72,195 Amortization expense for the nine months ended September 30, 2015 and 2014 was $ 3,226 37,906

Debt Restructuring, Promissory

Debt Restructuring, Promissory Notes and Mortgage Payable	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Debt Disclosure [Text Block]	Note 8 – Debt Restructuring, Promissory Notes and Mortgage Payable Debt Restructuring Effective December 31, 2013, the Company executed a redemption and debt restructuring agreement with Vicis Capital Master Fund ("Vicis") to, among other things, extend the term of our loans to September 30, 2014 with two additional one year extensions if accrued interest is paid in full, and reduce the overall loan with Vicis from approximately $ 17,000,000 3,000,000 19,995,092 76,864,250 The approximately $ 14,000,000 19,995 14,098,847 5,000,000 1,601,116 Phoenix Vitae Holdings, LLC (“PV”), which is owned by the CEO of the Company, purchased the 6 3,000,000 6.0 9.0 12.0 Long term debt consisted of the following at: September 30, December 31, 2015 2014 $3,000,000, 6% secured promissory note, due on demand $ 3,000,000 $ 3,000,000 $1,400,000, 12% mortgage note payable, due November 29, 2015 1,400,000 1,400,000 $2,766,155, 5% secured promissory note, due March 1, 2016 2,766,155 2,766,155 $175,000, 6% promissory note, due June 30, 2017 175,000 175,000 $500,000 12% convertible promissory note, due August 21, 2016 9,436 55,000 $500,000 12% convertible promissory note, due April 28, 2017 25,000 $83,500 8% convertible promissory note, due September 19, 2015 - 83,500 $43,000 8% convertible promissory note, due November 21, 2015 475 43,000 $53,500 8% convertible promissory note, due December 29, 2015 53,500 53,500 7,429,566 7,576,155 Less current portion (7,229,566) (4,580,000) Long-term debt $ 200,000 $ 2,996,155 Promissory Notes Effective March 11, 2014, netTALK and Telestrata LLC (“Telestrata”), a Colorado limited liability company executed a restricted stock and warrant purchase agreement, pursuant to which, in part, Telestrata purchased: (a) 25,441,170 20 Subject to repayment obligations of the Company as provided below, Telestrata received credit of $ 4,071,940 500,000 837,374 2,734,566 On March 11, 2014, the Company executed a secured promissory note with Telestrata for $ 4,071,940 5 500,000 250,000 250,000 4,571,940 1,805,785 1,805,785 Reconciliation of Telestrata Promissory Note at: September 30, 2015 Original secured promissory note due to Telestrata $ 4,071,940 Less promissory note discount (1,805,785) Increase in principal from additional cash payment 250,000 Increase in principal from indirect cash payment for telecom service 250,000 Revised secured promissory note due to Telestrata $ 2,766,155 On August 21, 2014, the Company issued a Convertible Promissory Note (“Note 1”) to a third party accredited investor, in the aggregate principal amount of five hundred thousand dollars ($ 500,000 450,000 50,000 25,000 10 Note 1 is convertible, at the option of the holder, into shares of the Company’s common stock at a conversion price equal to the lesser of $ 0.17 60 0.10 17,700 1,550,000 5,256 7,300,000 Note 1 has a maturity date of August 21, 2016 0 12 On September 24, 2014, the Company entered into a Securities Purchase Agreement (“SPA”) with a third party accredited investor pursuant to which the Company issued an 8 83,500 83,500 Note 2 is convertible, at the option of the holder, into shares of the Company common stock based on the conversion price equal to 65 8 September 11, 2015 12,000 1,318,681 71,500 31,235,278 On November 19, 2014, the Company entered into a SPA with a third party accredited investor pursuant to which the Company issued an 8% Convertible Promissory Note (“Note 3”) to the investor in the principal amount of forty-three thousand dollars ($ 43,000 43,000 Note 3 is convertible, at the option of the holder, into shares of the Company common stock based on the conversion price equal to 65 8 November 19, 2015 42,525 35,116,324 On December 29, 2014, the Company entered into a Securities Purchase Agreement with a third party accredited investor pursuant to which the Company issued an 8% Convertible Promissory Note (“Note 4”) to the investor in the principal amount of fifty-three thousand five hundred dollars ($ 53,500 53,500 53,500 Note 4 is convertible, at the option of the holder, into shares of the Company common stock based on the conversion price equal to 65 8 December 29, 2015 During 2014, the CEO (and shareholder) loaned the Company $ 575,000 87,583 117,000 During the first and second quarters of 2013, the Company received advances of $ 175,000 6 On May 31, and July 15, 2013, the Company issued to Samer Bishay, previous President of the Company, two 5 300,000 200,000 0.08 3,750,000 2,500,000 521,000 March 11, 2014 Mortgage Payable On November 29, 2012, the Company borrowed $ 1,000,000 12 rd On January 11, 2013, we received an additional advance of $ 400,000 1,400,000 12

Revenue and Cost of Revenues

Revenue and Cost of Revenues	9 Months Ended
	Sep. 30, 2015
Deferred Revenue Disclosure [Abstract]
Deferred Revenue Disclosure [Text Block]	Note 9 – Revenue and Cost of Revenues Revenues and cost of revenues consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenues: Sales of devices $ 38,737 $ 175,571 $ 171,950 $ 573,565 Renewals and access charges 896,312 954,412 2,946,450 2,972,486 Other 50,733 79,490 137,170 115,913 Total 985,782 1,209,473 3,255,570 3,661,964 Cost of revenues: Cost of sales of devices 51,079 413,380 256,561 1,002,293 Cost of renewals and access charges 301,497 412,846 997,005 1,348,564 Total 352,576 826,226 1,253,566 2,350,857 Gross profit $ 633,206 $ 383,247 $ 2,002,004 $ 1,311,107

Share-Based Payment Arrangement

Share-Based Payment Arrangements	9 Months Ended
	Sep. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 10 - Share-Based Payment Arrangements NetTalk adopted a 2010 Stock Option Plan, a 2011 Stock Option Plan, a 2012 Stock Option Plan and a 2015 Stock Option Plan (the "Plans") which are intended to advance the interests of the Company’s shareholders by enhancing the Company’s ability to attract, retain and motivate key individuals by providing such persons with equity ownership opportunities and performance-based incentives, thereby better aligning the interests of our employee and consultants with those of the Company. The 2015 Stock Option Plan is currently restricted. See legal proceedings for further discussion. All of the Company’s employees, officers, and directors, and those Company’s consultants and advisors (i) that are natural persons and (ii) who provide bona fide services to the Company not connected to a capital raising transaction or the promotion or creation of a market for the Company’s securities, are eligible to be granted options or restricted stock awards under the Plans. The shares are compensatory in nature and are fully vested upon issuance. We value the shares consistent with fair value at the time of issuance including adjustments for certain restrictions and limitations Share–based compensation cost to employees is recorded as compensation expense and is recognized over the service period. Share–based payments to non–employees are recorded as consulting expense and is recognized over the service period. In the first quarter of 2014, the Company issued 10,929,000 131,148 120,219 10,929 Also, in the first quarter of 2014, the Company issued a common stock purchase warrant entitling management to purchase shares of common stock of the Company equal to 20

Issuance of Equity Securities

Issuance of Equity Securities	9 Months Ended
	Sep. 30, 2015
Stockholders' Equity Note [Abstract]
Issuance of Common Stock [Text Block]	Note 11 - Issuance of Equity Securities Effective March 11, 2014, netTALK and Telestrata LLC (“Telestrata”), a Colorado limited liability company executed a restricted stock and warrant purchase agreement, pursuant to which, in part, Telestrata purchased: (a) 25,441,170 20 Also, in the first quarter of 2014, the Company issued a common stock purchase warrant entitling management to purchase shares of common stock of the Company equal to 20 On October 15, 2014, Telestrata, exercised its warrant for 19,424,000 69,926 19,424 50,502 On October 16, 2014, management exercised its warrant for 24,280,000 87,408 24,280 63,128 In the third and fourth quarters of 2014, the Company issued four convertible promissory notes totaling $ 235,000 25,000 In the first, second and third quarters of 2015, investors converted approximately $ 171,589 91,610,283 171,589 91,610 79,979 In the first and second quarters of 2015, the Company issued 7,000,000 90,933 90,933 7,000 83,933

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	Note 12 - Related Party Transactions Iristel, Inc. (“Iristel”), a vendor that previously provided a significant portion of netTALK’s telecom service in 2013 and 2014, is owned by Samer Bishay, who was President and was a member of the board of directors of netTalk.com, Inc. until removed from the board of directors by a majority of the Company’s shareholders on November 26, 2014. Mr. Bishay also owns and or controls Telestrata, LLC (“Telestrata”), a debt and equity holder of netTalk.com, Inc., a significant portion of which debt and equity was issued in full settlement of amounts due to Iristel. On October 10, 2014, Mr. Bishay caused Iristel to terminate all its contracts with netTalk.com, Inc. On October 17, 2014, Mr. Bishay, purporting to act as President of netTalk.com, Inc., attempted to cause netTalk.com, Inc. to reinstate one of its contracts with Iristel, which he had previously caused Iristel to terminate. The Company continues to deny that the reinstatement was effective. On or about October 24, 2014, Mr. Bishay, despite being obviously conflicted, despite acting without authorization and against the wishes of the board of directors, and despite the absence of the Company seal, filed an unauthorized mortgage on certain real property of the Company, in favor of Telestrata, which he owns and or controls. The Company is continuing to dispute that mortgage. See footnote 14 for further discussion. On November 5, 2014, Telestrata filed an action against the company in the United States District Court for the Southern District of Florida titled: Telestrata, LLC v. netTalk.com., Inc. et al., 1:14-cv-24137. See footnote 14 for further discussion. As a continuation of these ongoing attempts to tortiously damage the Company and its shareholders, Mr. Bishay, through Iristel and Telestrata, is attempting to overstate, or completely misstate, the amounts owed by the Company. The Company has accrued and recorded the amounts it believes are owed to Iristel. The Company completely denies the validity of any of Mr. Bishay’s claims, and intends to vigorously pursue Iristel, Telestrata and Mr. Bishay for the damage any such misstatements may cause. The Chief Operating Officer is related to the CEO and was promoted to COO January 1, 2014 by the board of directors. Phoenix Vitae Holdings, LLC (“PV”), which is owned by the CEO (and shareholder) of the Company, purchased the 6 3,000,000 12 During 2014, the CEO (and shareholder) loaned the Company $ 575,000 400,000 87,583 75,000 250,912 180,000 56,250 4,928,500 9,858 117,035

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2015
Subsequent Events [Abstract]
Subsequent Events [Text Block]	Note 13 – Subsequent Events On November 11, 2015, the Company paid in full the remaining principal amount of $475.00 of the $43,000, 8% convertible promissory note which was due November 21, 2015.

Commitments and Legal Proceedin

Commitments and Legal Proceedings	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	Note 14 – Commitments and Legal Proceedings Employment Agreements On January 2, 2014, the Company entered into employment agreements with the Chief Executive Officer, Executive Vice President, Chief Financial Officer, Chief Operating Officer and Chief Technical Officer according to the following terms. Stated salary for 2014 and 2015, a term of 2 5 750,000 625,000 2,625,000 Commitments The Company has commitments with various telecom vendors providing for telecom and related services. The Company has an annual commitment of approximately $ 265,000 300,000 During the middle of 2013, the Company encountered severe financial difficulties. As a result, the Company became delinquent on filing and paying certain taxes. As of the date of this filing, the Company is working to complete all filing obligations required by federal, state, county, city or locality jurisdictions. As of September 30, 2015, the Company has accrued approximately $ 881,950 Legal Proceedings On April 4, 2012, MagicJack Vocaltec Ltd. filed a complaint in United States District Court for the Southern District of Florida, Civil Action No.: 9:12-cv-80360-DMM, On September 21, 2012, NetTalk.com, Inc. filed a complaint in United States District Court for the Southern District of Florida, Civil Action No.: 9:12-cv-810220-CIV-MIDDLEBROOK/BRANNON, against MAGICJACK VOCALTECLTD, MAGIJACK HOLDINGS CORPORATION f/k/a YMAX HOLDINGS CORPORATION and DANIEL BORISLOW. In the complaint we allege patent infringement by the defendants and are seeking injunctive relief and two hundred million dollars ($ 200,000,000 As a result of this action, MAGICJACK/ VOCALTEC LTC filed a document with the United States Patent Office (“USPTO”) requesting reexamination of netTALK patent 8,243,722. The USPTO granted the reexamination petition and the claim against MAGICJACK/VOVALTEC LTD was stayed pending the outcome of the USPTO reexamination. In December 2013, netTALK received a USPTO Notice of Intent to Issue Ex Parte Reexamination Certificate (“NIRC”) for netTALK’s U.S. Patent Number 8,243,722. In January 2014, netTALK petitioned the courts to restart the aforementioned lawsuit against MAGICJACK VOCALTECLTD, MAGIJACK HOLDINGS CORPORATION f/k/a YMAX HOLDINGS CORPORATION and DANIEL BORISLOW. On February 27, 2014, netTALK received the reexamination certificate which restated that all three claims of the ‘722 Patent are deemed allowable by the USPTO. The three claims of the ‘722 Patent were minimally amended during the proceeding. On February 27, 2015, by stipulation of the parties, the district court dismissed all claims and counterclaims in netTALK v. magicJack (Case No. 9:12-cv- 810220, Dkt. #158.) On September 14, 2012, a supplier to the Company, Arrow Electronics, Inc. (“Arrow”), filed a complaint in the United States District Court for the Southern District of Florida, Case No.: 1:12-cv-23366-FAM, 473,319 28,130 On March 20, 2014 a claim was filed by Billsoft, Case No. 14CV01827. The claim states the Company is indebted to Billsoft in the amount of $ 16,776 1,192 17,968 1,000 1,969 On July 30, 2014, Active Media Services, Inc. filed a complaint against the Company in the United States District Court for the Southern District of New York. The Complaint seeks $ 374,803 The claim was settled on June 4, 2015 for 16,000 devices with 3 months service or approximately $385,000. On July 30, 2014, the Company was served with a complaint from QVC, Inc. that was filed in the United States District Court, for the Eastern District of Pennsylvania, Case No.: 2:14-cv-04406-LS, alleging breach of contract by the Company and seeking damages of no less than $ 95,798 99,870 48,977 On February 27, 2015, the Company was served with a complaint from Northern Communication Services, Inc. that was filed in the Circuit Court of the 11 th 43,110 43,110 33,110 On March 25, 2015, the Company received a collection letter from Canadian Credit Corporation threatening litigation for breach of contract by the Company and seeking damages of no less than $ 29,687 29,687 On April 3, 2015, the Company received a collection letter from Receivables Control Corporation threatening litigation for breach of contract by the Company and seeking damages of no less than $ 247,500 10,000 On November 5, 2014, Telestrata, LLC (“Plaintiff”) filed an action against the Company in the United States District Court for the Southern District of Florida titled: Telestrata, LLC v. NetTAlk.com., Inc. et al The Complaint asserts direct claims against the Company and its management for: (1) a declaratory judgment against the Company and management Defendants stating that the amount of shares owned by current management is inaccurate; (2) accounting against the Company; (3) breach of the SPA against the Company; (4) imposition of an equitable lien against the Company; (5) fraud against the Company and certain management Defendants; and (6) conspiracy against the Company and all Management Defendants. The Complaint also asserts derivative claims for breach of fiduciary duty, a preliminary and permanent injunction and a declaratory judgment. The action filed by the Company against Telestrata on or about December 24, 2014, seeking to quiet title on its property and for slander of title has been consolidated with the Telestrata Derivative Litigation. The Company filed its answer to the Complaint on May 26, 2015, denying the material allegations of the Complaint and asserting counterclaims against Plaintiff Telestrata, as well as Samer Bishay, Maged Bishara and Nadir Aljasrawi, inter alia On July 7, 2015, Telestrata moved for an ex parte Temporary Restraining Order (“TRO”), which the District Court granted on July 8, 2015. On August 19, 2015, the District Court issued an order which granted Telestrata’s motion to convert the TRO into a preliminary injunction and enjoined the Company from, inter alia On August 26, 2015, the Company timely filed its Notice of Appeal of the Preliminary Injunction in the Eleventh Circuit Court of Appeals. The Company has submitted an appellate brief and participated in a telephone mediation conference on November 9, 2015. The District Court denied the Company’s motion to dismiss Telestrata’s derivative claims and, on July 13, 2015, the Company moved to certify the District Court’s order for interlocutory appeal. The Company’s Motion to Certify for Interlocutory Appeal is still pending before the District Court. This action is currently in the discovery phase in the District Court. The Company intends to vigorously defend the claims asserted against it in the Complaint and on Appeal and further intends to vigorously prosecute its counterclaims. On or about September 2, 2014, KBM Worldwide Inc. brought an action against the Company in the United States District Court for the Eastern District of New York titled KBM Worldwide, Inc. v. NetTalk.com, Inc. et al. 53,500 43,000 We are aggressively defending all of the lawsuits and claims described above. While we do not believe these aforementioned claims will have a material adverse effect on our financial position, given the uncertainty and unpredictability of litigation there can be no assurance of no material adverse effect. The Company is engaged in other legal actions and claims arising in the ordinary course of business, none of which are believed to be material to the Company.

Summary of Accounting Policies

Summary of Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and footnotes. Significant estimates inherent in the preparation of our financial statements include developing fair value measurements upon which to base our accounting for acquisitions of intangible assets and issuances of financial instruments, including our common stock. Our estimates also include developing useful lives for our tangible and intangible assets and cash flow projections upon which we determine the existence of, or the measurements for, impairments, allowance for billing adjustments, doubtful accounts and allocation of prices between device and telecom services. Our estimates and assumptions are based on experience, historical trends identified by management, telecommunications industry trends and the overall economic condition in the United States and abroad. Actual results could differ significantly from these estimates and assumptions, and the differences could be material.
Risks And Uncertainties [Policy Text Block]	Risk and Uncertainties Our future results of operations and financial condition will be affected by many factors including the following: dependence on the worldwide telecommunication markets characterized by intense competition and rapidly changing technology, on third-party manufacturers and subcontractors, on third-party distributors in certain markets, and on the successful development and marketing of new products in new and existing markets. Generally, we are unable to predict the future status of these areas of risk and uncertainty.
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition We generate revenue from product sales, telecom services, mobile app sales, shipping and handling charges and leasing cell tower and co-location rack space in our operations center. We recognize all our revenues in accordance with ASC 605, Revenue Recognition and SAB 104 as follows: when evidence of an arrangement exists, in the case of products, when the product is shipped to a customer, or in the case of telecom services, when the service is used by the consumer, when the fee is fixed or determinable and amounts are collectible from the customers. We recognize revenue for a device sale when the product is shipped and the customer is invoiced for retail sales and when the customer completes the transaction for internet sales. We recognize revenue for telecom service prorata monthly as the service is used. Revenue for shipping costs billed to customers are included as a component of product sales. The associated cost of shipping is included as a component of cost of product sales.
Deferred Revenue [Policy Text Block]	Deferred Revenue The initial sale of our device includes telecom service ranging from 1 12 We bill international calls as earned from our customers. International calls are prepaid and customers account is debited as minutes are used and earned.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents We consider all highly liquid cash balances and debt instruments with an original maturity of three months or less to be cash equivalents. We maintain cash balances only in domestic bank accounts, which at times, may exceed FDIC limits of $ 250,000
Inventory, Policy [Policy Text Block]	Inventory Inventories are stated at the lower of cost or market. Cost is determined using the first-in first-out method. Obsolete inventory is reserved for, if necessary, and there is zero reserve at September 30, 2015 and December 31, 2014.
Property, Plant and Equipment, Policy [Policy Text Block]	Property and equipment includes assets acquired which consist of network equipment, computer hardware, furniture and purchased and internally developed software. All of our equipment is stated at cost with depreciation expense calculated using the straight line method over the estimated useful lives of related assets, which range from three to thirty-five years. The costs of r e
Intangible Assets, Finite-Lived, Policy [Policy Text Block]	Intangible Assets Intangible assets includes trademarks, patents and employee agreements. All of our intangible assets are stated at cost with amortization expense calculated using the straight line method over the estimated useful lives of related assets, which range from two to twenty years. The costs of repairs and maintenance is charged to operating expenses unless it increases the asset’s useful life more than one year.
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block]	Impairments and Disposals We evaluate our tangible and definite-lived intangible assets for impairment annually or more frequently in the presence of circumstances or trends that may be indicators of impairment. Our evaluation is a two-step process. The first step is to compare our undiscounted cash flows, as projected over the remaining useful lives of the assets, to their respective carrying values. In the event that the carrying values are not recovered by future undiscounted cash flows, as a second step, we compare the carrying values to the related fair values and, if lower, record an impairment adjustment. For purposes of fair value, we generally use replacement costs for tangible fixed assets and discounted cash flows, using risk-adjusted discount rates for intangible assets.
Research, Development, and Computer Software, Policy [Policy Text Block]	Software Development Costs The Company develops software for both internal and external use. The following describes netTALK’s policies and procedures regarding expensing versus capitalizing software development costs. We capitalize costs of software to be sold, leased or marketed in accordance with FASB ASC 985-20. We account for our software development costs as costs incurred internally in creating a computer software product and charge such costs to expense when incurred as research and development until technological feasibility has been established for the product. Technological feasibility is established upon completion of a detail program design or completion of a working model. Capitalization of costs stops when the product is available for general release to customers at which point the capitalized costs are amortized over the software’s useful life. We capitalize costs for internally developed software in accordance with FASB ASC 350-40. Costs incurred in the preliminary project stage are expensed as incurred. Preliminary project stage includes conceptual formulations and evaluation of alternatives, determination of existence of needed technology and final selection of alternatives. Costs incurred in the application development stage are capitalized as incurred and includes design of chosen path, configuration, coding, installation of hardware, and testing. Capitalization of costs stops after software implementation at which point the capitalized costs are amortized over the software’s useful life. As of September 30, 2015 and December 31, 2014, the Company had development costs of $ 131,517 377,172
Reclassification, Policy [Policy Text Block]	Reclassifications Certain reclassifications have been made to prior year financial statements in order to conform to the current year’s presentation.
Share Based Payment Arrangements [Policy Text Block]	Share-Based Payment Arrangements NetTalk adopted a 2010 Stock Option Plan, a 2011 Stock Option Plan, a 2012 Stock Option Plan and a 2015 Stock Option Plan (the "Plans") which are intended to advance the interests of the Company’s shareholders by enhancing the Company’s ability to attract, retain and motivate key individuals by providing such persons with equity ownership opportunities and performance-based incentives, thereby better aligning the interests of our employees and consultants with those of the Company. The 2015 Stock Option Plan is currently restricted. See legal proceedings for further discussion. All of the Company’s employees, officers, and directors, and those Company’s consultants and advisors (i) that are natural persons and (ii) who provide bona fide services to the Company not connected to a capital raising transaction or the promotion or creation of a market for the Company’s securities, are eligible to be granted options or restricted stock awards under the Plans. The shares are compensatory in nature and are fully vested upon issuance. We value the shares consistent with fair value at the time of issuance including adjustments for certain restrictions and limitations. Share–based compensation cost to employees is recorded as compensation expense and is recognized over the service period. Share–based payments to non–employees are recorded as consulting expense and is recognized over the service period.
Fair Value of Financial Instruments, Policy [Policy Text Block]	Fair Value of Financial Instruments A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels of valuation hierarchy are defined as follows: Level 1 - inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. Level 3 - inputs to the valuation methodology are unobservable and significant to the fair value measurement. Financial instruments, as defined in the Accounting Standards Codification 825, Financial Instruments, consist of cash, evidence of ownership in an entity, and contracts that both (i) impose on one entity a contractual obligation to deliver cash or another financial instrument to a second entity, or to exchange other financial instruments on potentially unfavorable terms with the second entity, and (ii) conveys to that second entity a contractual right (a) to receive cash or another financial instrument from the first entity, or (b) to exchange other financial instruments on potentially favorable terms with the first entity. Accordingly, our financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities, secured convertible debentures, and derivative financial instruments. The carrying amounts of debt obligations approximate their fair values as the terms are comparable to terms currently offered by local lending institutions for arrangements with similar terms to industry peers with comparable credit characteristics. We carry cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities at historical costs since their respective estimated fair values approximate carrying values due to their current nature. We also carry convertible debentures and redeemable preferred stock at historical cost. Derivative financial instruments, as defined in Accounting Standards Codification 815-10-15-83, Derivatives and Hedging, consist of financial instruments or other contracts that contain a notional amount and one or more underlying (e.g. interest rate, security price or other) variable, require no initial net investment and permit net settlement. Derivative financial instruments may be free-standing or embedded in other financial instruments. Further, derivative financial instruments are initially, and subsequently, measured at fair value and recorded as liabilities or, in rare instances, assets.
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Certain risks and concentration Our primary manufacturer accounted for approximately 13 23 21 34 One of our customers presently operates under a consignment agreement. Under the agreement we sell and ship merchandise to our customer, and collect payments upon the sale of our product to the ultimate (final) consumer. Revenue is recognized upon payment from our customer.
Stockholders' Equity Note, Redeemable Preferred Stock, Issue, Policy [Policy Text Block]	Redeemable Preferred Stock Redeemable preferred stock is initially evaluated for possible classification as liabilities under Accounting Standard Codification 480, Distinguishing Liabilities from Equity. Redeemable preferred stock that does not, in its entirety, require liability classification is evaluated for embedded features that may require bifurcation and separate classification as derivative liabilities under Accounting Standards Codification 815. In all instances, the classification of the redeemable preferred stock host contract that does not require liability classification is evaluated for equity classification or mezzanine classification based upon the nature of the redemption features. Generally, any feature that could require cash redemption for matters not within our control, irrespective of probability of the event occurring, requires classification outside of stockholders’ equity.
Earnings Per Share, Policy [Policy Text Block]	Loss per Common Share Basic loss per common share represents our loss applicable to common shareholders divided by the weighted average number of common shares outstanding during the period. Diluted loss per common share gives effect to all potentially dilutive securities. We compute the effects on diluted loss per common share arising from warrants and options using the treasury stock method or, in the case of liability classified warrants, the reverse treasury stock method. We compute the effects on diluted loss per common share arising from convertible securities using the if-converted method. The effects are all anti-dilutive and are excluded.
Patent Costs [Policy Text Block]	Patent Costs Assets are probable future economic benefits obtained as a result of past transactions or events. Legal fees and other costs incurred for successfully defending a patent from infringement are considered deferred legal costs in the sense that they are part of the cost of retaining and obtaining the future economic benefit of the patent as per Statement of Accounting Concept No. 6. If defense of the patent lawsuit is expected to be successful, costs may be capitalized to the extent of an evident increase in the value of the patent per TIS Section 2260. On February 27, 2015, all claims and counterclaims have been dismissed and, as a result, the previously deferred legal costs incurred to defend our patent have been expensed as of December 31, 2014.
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements In May 2014, the FASB issued standard ASU 2014-09, Revenue from Contracts with Customers that provides a single, comprehensive revenue recognition model for all contracts with customers. The standard is principle-based and provides a five-step model to determine the measurement of revenue and timing of when it is recognized. The core principle is that a company will recognize revenue to reflect the transfer of goods or services to customers at an amount that the company expects to be entitled to in exchange for those goods or services. This standard is effective for our interim and annual reporting periods beginning after December 15, 2017 and allows for either full retrospective adoption or modified retrospective adoption. We will adopt this guidance on January 1, 2018, and are currently evaluating the impact on our financial statements.

Accounts Receivable (Tables)

Accounts Receivable (Tables)	9 Months Ended
	Sep. 30, 2015
Receivables [Abstract]
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block]	Trade accounts receivable consisted of the following at: September 30, December 31, 2015 2014 Accounts receivable, gross $ 11,037 $ 137,411 Allowance for returns and doubtful accounts (1,875) (54,672) Accounts receivable, net $ 9,162 $ 82,739

Inventory (Tables)

Inventory (Tables)	9 Months Ended
	Sep. 30, 2015
Inventory Disclosure [Abstract]
Schedule of Inventory, Current [Table Text Block]	Inventories, recorded at lower of cost or market, are as follows: September 30, December 31, 2015 2014 Finished goods $ 144,824 $ 680,963 Total $ 144,824 $ 680,963

Property and equipment (Tables)

Property and equipment (Tables)	9 Months Ended
	Sep. 30, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment [Table Text Block]	Property and equipment consisted of the following at: Estimated September 30, December 31, Useful Life 2015 2014 Telecommunication equipment 7 $ 398,081 $ 373,089 Computer equipment 5 174,043 171,659 Building 35 2,448,364 2,448,364 Building improvements 10 91,414 86,442 Office equipment and furnishing 7 48,212 48,212 Purchased and developed software 3 277,534 124,728 Land 270,000 270,000 3,707,648 3,522,494 Less: accumulated depreciation (1,003,874) (816,068) Property and equipment, net $ 2,703,774 $ 2,706,426

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Goodwill [Table Text Block]	Intangible assets consisted of the following at: Estimated September 30, December 31, Useful Life 2015 2014 Trademarks National and International 5 $ 332,708 $ 332,708 Employment agreements 3 225,084 225,084 Knowhow and specialty skills 3 212,254 212,254 Workforce 3 54,000 54,000 Patents 20 93,747 93,747 Finance cost 2 83,280 83,280 1,001,073 1,001,073 Less: accumulated amortization (932,104 ) (928,878 ) Intangible assets, net $ 68,969 $ 72,195

Debt Restructuring, Promissor25

Debt Restructuring, Promissory Notes and Mortgage Payable (Tables)	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Debt Instrument Reconciliation [Table Text Block]	Demand, Promissory and Convertible Notes Long term debt consisted of the following at: September 30, December 31, 2015 2014 $3,000,000, 6% secured promissory note, due on demand $ 3,000,000 $ 3,000,000 $1,400,000, 12% mortgage note payable, due November 29, 2015 1,400,000 1,400,000 $2,766,155, 5% secured promissory note, due March 1, 2016 2,766,155 2,766,155 $175,000, 6% promissory note, due June 30, 2017 175,000 175,000 $500,000 12% convertible promissory note, due August 21, 2016 9,436 55,000 $500,000 12% convertible promissory note, due April 28, 2017 25,000 $83,500 8% convertible promissory note, due September 19, 2015 - 83,500 $43,000 8% convertible promissory note, due November 21, 2015 475 43,000 $53,500 8% convertible promissory note, due December 29, 2015 53,500 53,500 7,429,566 7,576,155 Less current portion (7,229,566) (4,580,000) Long-term debt $ 200,000 $ 2,996,155
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block]	Reconciliation of Telestrata Promissory Note at: September 30, 2015 Original secured promissory note due to Telestrata $ 4,071,940 Less promissory note discount (1,805,785) Increase in principal from additional cash payment 250,000 Increase in principal from indirect cash payment for telecom service 250,000 Revised secured promissory note due to Telestrata $ 2,766,155

Revenue and Cost of Revenues (T

Revenue and Cost of Revenues (Tables)	9 Months Ended
	Sep. 30, 2015
Deferred Revenue Disclosure [Abstract]
Deferred Revenue, by Arrangement, Disclosure [Table Text Block]	Revenues and cost of revenues consisted of the following: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Revenues: Sales of devices $ 38,737 $ 175,571 $ 171,950 $ 573,565 Renewals and access charges 896,312 954,412 2,946,450 2,972,486 Other 50,733 79,490 137,170 115,913 Total 985,782 1,209,473 3,255,570 3,661,964 Cost of revenues: Cost of sales of devices 51,079 413,380 256,561 1,002,293 Cost of renewals and access charges 301,497 412,846 997,005 1,348,564 Total 352,576 826,226 1,253,566 2,350,857 Gross profit $ 633,206 $ 383,247 $ 2,002,004 $ 1,311,107

Going Concern and Liquidity (De

Going Concern and Liquidity (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Going Concern And Managements Plans [Line Items]
Net Income (Loss) Attributable to Parent, Total	$ (650,998)	$ (682,019)	$ (2,227,628)	$ (1,673,029)
Long-term Debt	7,429,566		7,429,566
Other Long-term Debt, Current	7,229,566		7,229,566
Loans Payable	1,400,000		1,400,000
Negative Working Capital	13,581,333		13,581,333
Secured Debt [Member]
Going Concern And Managements Plans [Line Items]
Convertible Notes Payable	$ 25,000		$ 25,000

Summary of Accounting Policie28

Summary of Accounting Policies (Details Textual) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Summary of Significant Accounting Policies [Line Items]
Research and Development Expense, Total	$ 131,517		$ 377,172
Cash, FDIC Insured Amount	$ 250,000
Cost of Goods, Total [Member]
Summary of Significant Accounting Policies [Line Items]
Concentration Risk, Percentage	13.00%	23.00%
Cost of Goods, Total [Member] | Telecom service provider [Member]
Summary of Significant Accounting Policies [Line Items]
Concentration Risk, Percentage	21.00%	34.00%
Minimum [Member] | Service Life [Member]
Summary of Significant Accounting Policies [Line Items]
Telecom Service	1 month
Maximum [Member] | Service Life [Member]
Summary of Significant Accounting Policies [Line Items]
Telecom Service	12 months

Accounts Receivable (Details)

Accounts Receivable (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Financing Receivable, Recorded Investment, Past Due [Line Items]
Accounts receivable, gross	$ 11,037	$ 137,411
Allowance for returns and doubtful accounts	(1,875)	(54,672)
Accounts receivable, net	$ 9,162	$ 82,739

Inventory (Details)

Inventory (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Inventory [Line Items]
Finished goods	$ 144,824	$ 680,963
Total	$ 144,824	$ 680,963

Inventory (Details Textual)

Inventory (Details Textual) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Inventory [Line Items]
Inventory, Finished Goods, Gross	$ 144,824	$ 680,963
One distributor [Member]
Inventory [Line Items]
Inventory, Finished Goods, Gross	$ 10,636	$ 35,711

Property and equipment (Details

Property and equipment (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Property and equipment, Gross	$ 3,707,648	$ 3,522,494
Less: accumulated depreciation	(1,003,874)	(816,068)
Property and equipment, net	$ 2,703,774	2,706,426
Telecommunication Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	7 years
Property and equipment, Gross	$ 398,081	373,089
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	5 years
Property and equipment, Gross	$ 174,043	171,659
Building [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	35 years
Property and equipment, Gross	$ 2,448,364	2,448,364
Building Improvements [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	10 years
Property and equipment, Gross	$ 91,414	86,442
Office Equipment and Furnishing [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	7 years
Property and equipment, Gross	$ 48,212	48,212
Purchased and Developed Software [Member]
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Estimated Useful Life	3 years
Property and equipment, Gross	$ 277,534	124,728
Land [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, Gross	$ 270,000	$ 270,000

Property and equipment (Detai33

Property and equipment (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Property, Plant and Equipment [Line Items]
Depreciation	$ 199,819	$ 174,789

Intangible Assets (Details)

Intangible Assets (Details) - USD ($)	9 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Intangible assets, Gross	$ 1,001,073	$ 1,001,073
Less: accumulated amortization	(932,104)	(928,878)
Intangible assets, net	$ 68,969	72,195
Trademarks National and International [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	5 years
Intangible assets, Gross	$ 332,708	332,708
Employment Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	3 years
Intangible assets, Gross	$ 225,084	225,084
Knowhow and specialty skills [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	3 years
Intangible assets, Gross	$ 212,254	212,254
Workforce [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	3 years
Intangible assets, Gross	$ 54,000	54,000
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	20 years
Intangible assets, Gross	$ 93,747	93,747
Finance Cost [Member]
Finite-Lived Intangible Assets [Line Items]
Intangible Assets, Estimated Useful Life	2 years
Intangible assets, Gross	$ 83,280	$ 83,280

Intangible Assets (Details Text

Intangible Assets (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	$ 3,226	$ 37,906

Debt Restructuring, Promissor36

Debt Restructuring, Promissory Notes and Mortgage Payable (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	$ 7,429,566	$ 7,576,155
Less current portion	(7,229,566)	(4,580,000)
Long-term debt	200,000	2,996,155
Face Value $3,000,000 6%, secured promissory note, due on demand [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	3,000,000	3,000,000
Face Value $1,400,000, 12% Mortgage Payable Due November29, 2015 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	1,400,000	1,400,000
Face Value $2,766,155, 5% secured promissory note, due March 1, 2016 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	2,766,155	2,766,155
Face Value $175,000 6%, promissory note, due June 30, 2017 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	175,000	175,000
Face Value $500,000 12% convertible promissory note, due August 21, 2016 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	9,436	$ 55,000
Face Value $500,000 12% convertible promissory note, due April 28, 2017 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	25,000
Face Value $83,500 8% convertible promissory note, due September 19, 2015 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	0	$ 83,500
Face Value $43,000 8% Convertible Promissory Note Due November 21 2015 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	475	43,000
Face Value $53,500 8% convertible promissory note, due December 29, 2015 [Member]
Debt Instrument [Line Items]
Debt, Long-term and Short-term, Combined Amount	$ 53,500	$ 53,500

Debt Restructuring, Promissor37

Debt Restructuring, Promissory Notes and Mortgage Payable [Parenthetical] (Details Textual) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Debt, Long-term and Short-term, Combined Amount, Total	$ 7,429,566	$ 7,576,155
Debt Instrument, Interest Rate During Period	12.00%
secured promissory note, due on demand [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 3,000,000	$ 3,000,000
Debt Instrument, Interest Rate During Period	6.00%	6.00%
mortgage payable, due November 29, 2015 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 1,400,000	$ 1,400,000
Debt Instrument, Interest Rate During Period	12.00%	12.00%
secured promissory note, due March 1, 2016 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 2,766,155	$ 2,766,155
Debt Instrument, Interest Rate During Period	5.00%	5.00%
promissory note, due June 30, 2017 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 175,000	$ 175,000
Debt Instrument, Interest Rate During Period	6.00%	6.00%
convertible promissory note, due August 21, 2016 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 500,000	$ 500,000
Debt Instrument, Interest Rate During Period	12.00%	12.00%
convertible promissory notes, due April 28, 2017 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 500,000	$ 500,000
Debt Instrument, Interest Rate During Period	12.00%	12.00%
convertible promissory note, due September 19, 2015 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 83,500	$ 83,500
Debt Instrument, Interest Rate During Period	8.00%	8.00%
convertible promissory note, due November 21, 2015 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 43,000	$ 43,000
Debt Instrument, Interest Rate During Period	8.00%	8.00%
convertible promissory note, due December 29, 2015 [Member]
Debt, Long-term and Short-term, Combined Amount, Total	$ 53,500	$ 53,500
Debt Instrument, Interest Rate During Period	8.00%	8.00%

Debt Restructuring, Promissor38

Debt Restructuring, Promissory Notes and Mortgage Payable (Details 1) - Telestrata [Member] - USD ($)	Sep. 30, 2015	Jun. 30, 2014	Mar. 11, 2014
Debt Instrument Reconciliation [Line Items]
Original secured promissory note due to Telestrata	$ 4,071,940		$ 4,071,940
Less promissory note discount	(1,805,785)	$ (1,805,785)
Increase in principal from additional cash payment	250,000
Increase in principal from indirect cash payment for telecom service	250,000
Revised secured promissory note due to Telestrata	$ 2,766,155

Debt Restructuring, Promissor39

Debt Restructuring, Promissory Notes and Mortgage Payable (Details Textual) - USD ($)	Jul. 07, 2014	Mar. 11, 2014	Jan. 11, 2013	Apr. 28, 2015	Dec. 29, 2014	Nov. 29, 2014	Nov. 19, 2014	Sep. 24, 2014	Aug. 31, 2014	Aug. 21, 2014	Jun. 30, 2014	Jun. 30, 2015	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2015	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Dec. 31, 2013	Dec. 15, 2014	Nov. 11, 2014	Sep. 02, 2014	Jul. 15, 2013	Jun. 30, 2013	May. 31, 2013	Nov. 29, 2012
Debt Instrument [Line Items]
Debt Instrument, Interest Rate During Period																12.00%
Working Capital From Outside Party													$ 521,000	$ 521,000
Warrants Exercisable																76,864,250
Extinguishment of Debt, Amount																			$ 14,000,000
Common Stock Shares Cancelled																19,995,092
Increase Decrease In Common Stock																$ 19,995
Adjustments to Additional Paid in Capital In Extinguishment Of Debt																14,098,847
Adjustments to Additional Paid in Capital In Write-off Of Preferred Stock																5,000,000
Adjustments to Additional Paid in Capital In Write-off Of Preferred Stock Dividends																1,601,116
Proceeds from Notes Payable																$ 25,000	$ 1,550,377
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions																20.00%
Debt Instrument, Debt Default, Amount																				$ 53,500	$ 43,000
Telestrata [Member]
Debt Instrument [Line Items]
Long-term Debt, Gross		$ 4,071,940														$ 4,071,940
Proceeds from Related Party Debt											$ 250,000
Debt Instrument, Interest Rate, Stated Percentage		5.00%
Debt Instrument, Unamortized Discount											1,805,785					1,805,785
Proceeds from Notes Payable		$ 4,071,940
Purchase Price Allocation, Loans													837,374						837,374
Purchase Price Allocation, Liabilities													2,734,566						2,734,566
Purchase Price Allocation, promissory notes		$ 500,000
Subsidiary or Equity Method Investee, Cumulative Number of Shares Issued for All Transactions		25,441,170
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions		20.00%
Indirect proceeds from related party											250,000
New Principal Balance Of Debt											4,571,940
Increase in principal Amount Of Debt																$ 500,000
Chief Executive Officer [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount	$ 3,000,000
Debt Instrument, Interest Rate During Period	6.00%								9.00%							6.00%
Proceeds from Related Party Debt																		$ 400,000	87,583
Noninterest-bearing Domestic Deposit, Demand																$ 575,000		$ 575,000
Extinguishment Of Officers Compensation Amount																$ 117,000
NW 163rd Drive, LLC. [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount			$ 400,000																							$ 1,000,000
Debt Instrument, Interest Rate During Period			12.00%			12.00%
Long-term Debt, Gross			$ 1,400,000
Third party [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount					$ 53,500		$ 43,000						$ 175,000						$ 175,000					$ 175,000
Debt Instrument, Interest Rate During Period					8.00%		8.00%									6.00%
Debt Instrument, Maturity Date					Dec. 29, 2015		Nov. 19, 2015
Debt Instrument, Interest Rate, Stated Percentage					8.00%											6.00%
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger					65.00%		65.00%
Convertible Promissory Note Purchase Price					$ 53,500		$ 43,000
JMJ Financial [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount										$ 500,000
Debt Instrument, Convertible, Conversion Price										$ 0.17
Debt Instrument, Interest Rate, Stated Percentage										0.00%
Original issue discount percentage										10.00%
Conversion floor price per share										$ 0.10
Proceeds from Convertible Debt				$ 25,000						$ 50,000
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger										60.00%
Convertible Promissory Note Purchase Price										$ 450,000
Debt Conversion, Original Debt, Amount												$ 5,256				$ 17,700
Debt Conversion, Converted Instrument, Shares Issued												7,300,000				1,550,000
KBM Worldwide, Inc. [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount								$ 83,500
Debt Instrument, Interest Rate During Period								8.00%
Debt Instrument, Maturity Date								Sep. 11, 2015		Aug. 21, 2016
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger								65.00%
Convertible Promissory Note Purchase Price								$ 83,500
Debt Conversion, Original Debt, Amount															$ 71,500
Debt Conversion, Converted Instrument, Shares Issued															31,235,278
Debt Instrument, Debt Default, Amount																						$ 53,500
November 19, 2014 [Member] | Third party [Member]
Debt Instrument [Line Items]
Debt Conversion, Original Debt, Amount																$ 42,525
Debt Conversion, Converted Instrument, Shares Issued																35,116,324
Convertible Promissory Notes [Member] | December 1, 2013 [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount																									$ 300,000
Convertible Promissory Notes [Member] | January 15, 2014 [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount																							$ 200,000
Convertible Promissory Notes [Member] | March 1 ,2016 [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate During Period																			5.00%
Minimum [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount																$ 3,000,000
Maximum [Member]
Debt Instrument [Line Items]
Debt Instrument, Face Amount																$ 17,000,000
Maximum [Member] | Telestrata [Member]
Debt Instrument [Line Items]
Debt Instrument, Unamortized Discount											$ 1,805,785
Maximum [Member] | JMJ Financial [Member]
Debt Instrument [Line Items]
Debt Instrument, Interest Rate During Period										12.00%
Secured Convertible Promissory Note [Member] | January 15, 2014 [Member]
Debt Instrument [Line Items]
Debt Instrument, Convertible, Conversion Price													$ 0.08						$ 0.08
Stock Issued During Period, Shares, Conversion of Convertible Securities																			2,500,000
Secured Convertible Promissory Note [Member] | March 1 ,2016 [Member]
Debt Instrument [Line Items]
Stock Issued During Period, Shares, Conversion of Convertible Securities																			3,750,000

Revenue and Cost of Revenues (D

Revenue and Cost of Revenues (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues:
Sales of devices	$ 38,737	$ 175,571	$ 171,950	$ 573,565
Renewals and access charges	896,312	954,412	2,946,450	2,972,486
Other	50,733	79,490	137,170	115,913
Total	985,782	1,209,473	3,255,570	3,661,964
Cost of revenues:
Cost of sales of devices	51,079	413,380	256,561	1,002,293
Cost of renewals and access charges	301,497	412,846	997,005	1,348,564
Total	352,576	826,226	1,253,566	2,350,857
Gross profit	$ 633,206	$ 383,247	$ 2,002,004	$ 1,311,107

Share-Based Payment Arrangeme41

Share-Based Payment Arrangements (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2014	Sep. 30, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Shares, Issued		299,937,174	121,398,391
Common Stock, Value, Issued		$ 299,937	$ 121,407
Stock Option Plan 2011 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common Stock, Shares, Issued	10,929,000
Allocated Share-based Compensation Expense, Net of Tax	$ 131,148
Additional Paid in Capital, Common Stock	120,219
Common Stock, Value, Issued	$ 10,929
Purchases Of Common Stock percentage	20.00%

Issuance of Equity Securities (

Issuance of Equity Securities (Details Textual) - USD ($)	Oct. 15, 2014	Mar. 11, 2014	Oct. 16, 2014	Jun. 30, 2015	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Issuance of Equity Securities [Line Items]
Common Stock, Value, Issued					$ 299,937		$ 121,407
Additional Paid in Capital, Total					$ 55,461,537		55,217,688
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions					20.00%
Proceeds from Notes Payable					$ 25,000	$ 1,550,377
Accounts Payable, Current					2,200,837		2,149,333
Legal Contact [Member]
Issuance of Equity Securities [Line Items]
Common Stock, Value, Issued				$ 7,000
Additional Paid in Capital, Total				$ 83,933
Stock Issued During Period, Shares, Issued for Services				7,000,000
Legal Fees				$ 90,933
Accounts Payable, Current				90,933
Convertible Notes Payable [Member]
Issuance of Equity Securities [Line Items]
Common Stock, Value, Issued					91,610
Additional Paid in Capital, Total					79,979
Proceeds from Notes Payable				$ 25,000			$ 235,000
Debt Conversion, Original Debt, Amount					$ 171,589
Debt Conversion, Converted Instrument, Shares Issued					91,610,283
Telestrata [Member]
Issuance of Equity Securities [Line Items]
Subsidiary or Equity Method Investee, Cumulative Number of Shares Issued for All Transactions		25,441,170
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions		20.00%
Proceeds from Notes Payable		$ 4,071,940
Warrant [Member]
Issuance of Equity Securities [Line Items]
Financing Interest Expense	$ 69,926
Common Stock, Value, Issued	19,424		$ 24,280
Additional Paid in Capital, Total	$ 50,502		$ 63,128
Exercise of Warrants to Shares	19,424,000		24,280,000
Allocated Share-based Compensation Expense			$ 87,408

Related Party Transactions (Det

Related Party Transactions (Details Textual) - USD ($)	Jul. 07, 2014	Aug. 31, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Dec. 31, 2013
Related Party Transaction [Line Items]
Accrued Salaries					$ 75,000
Due to Related Parties, Current			$ 117,035		250,912
Debt Instrument, Interest Rate During Period			12.00%
Share-based Compensation, Total				$ 131,148
Chief Executive Officer [Member]
Related Party Transaction [Line Items]
Proceeds from Related Party Debt					400,000	$ 87,583
Due to Related Parties, Current			$ 117,035		250,912
Debt Instrument, Interest Rate During Period	6.00%	9.00%	6.00%
Debt Instrument, Face Amount	$ 3,000,000
Noninterest-bearing Domestic Deposit, Demand			$ 575,000		$ 575,000
Accrued Voluntary Compensation Reduction			56,250
Repayments of Related Party Debt			$ 180,000
Stock Issued During Period, Shares, New Issues			4,928,500
Share-based Compensation, Total			$ 9,858

Subsequent Events (Details Text

Subsequent Events (Details Textual) - USD ($)	Nov. 11, 2015	Sep. 30, 2015
Subsequent Event [Line Items]
Debt Instrument, Interest Rate During Period		12.00%
Subsequent Event [Member]
Subsequent Event [Line Items]
Debt Instrument, Face Amount	$ 475
Debt Instrument, Annual Principal Payment	$ 43,000
Debt Instrument, Interest Rate During Period	8.00%
Debt Conversion, Converted Instrument, Expiration or Due Date	Nov. 21, 2015

Commitments and Legal Proceed45

Commitments and Legal Proceedings (Details Textual) - USD ($)

Apr. 03, 2015

Aug. 18, 2015

Feb. 27, 2015

Jul. 30, 2014

Mar. 20, 2014

Sep. 21, 2012

Sep. 30, 2015

Mar. 25, 2015

Dec. 15, 2014

Nov. 11, 2014

Apr. 24, 2014

Sep. 14, 2012

Loss Contingencies [Line Items]

Loss Contingency, Damages Sought, Value

$ 200,000,000

Loss Contingency, Settlement Agreement, Terms

The claim was settled on June 4, 2015 for 16,000 devices with 3 months service or approximately $385,000.

Litigation Settlement, Amount

$ 385,000

Annual Commitment

$ 265,000

Total Commitment

300,000

Accounts Payable and Accrued Liabilities

$ 881,950

Debt Instrument, Debt Default, Amount

$ 53,500

$ 43,000

Management [Member] | Minimum [Member]

Loss Contingencies [Line Items]

Employment Agreements Terms

2 years

Management [Member] | Maximum [Member]

Loss Contingencies [Line Items]

Employment Agreements Terms

5 years

Arrow Electronics Inc [Member]

Loss Contingencies [Line Items]

Accounts Payable

$ 28,130

Loss Contingency, Receivable, Current

$ 473,319

Billsoft [Member]

Loss Contingencies [Line Items]

Loss Contingency, Damages Sought, Value

$ 16,776

Litigation Settlement, Expense

1,192

Litigation Settlement, Amount

$ 17,968

Accounts Payable

1,969

Monthly Payment For Debt Settlement Agreement

$ 1,000

Active Media Services, Inc [Member]

Loss Contingencies [Line Items]

Loss Contingency, Receivable, Current

374,803

QVC [Member]

Loss Contingencies [Line Items]

Litigation Settlement, Amount

99,870

Accounts Payable

48,977

Loss Contingency, Receivable, Current

$ 95,798

Northern Communication Services, Inc [Member]

Loss Contingencies [Line Items]

Litigation Settlement, Amount

$ 43,110

Accounts Payable

33,110

Loss Contingency, Receivable, Current

$ 43,110

Canadian Credit Corporation [Member]

Loss Contingencies [Line Items]

Accounts Payable

29,687

Loss Contingency, Receivable, Current

$ 29,687

Receivables Control Corporation [Member]

Loss Contingencies [Line Items]

Litigation Settlement, Amount

$ 10,000

Loss Contingency, Receivable, Current

$ 247,500

MagicJack Vocaltec Ltd [Member]

Loss Contingencies [Line Items]

Legal Fees

$ 2,000,000

Employment Contracts [Member] | Year 2015 [Member]

Loss Contingencies [Line Items]

Annual Commitment

750,000

Employment Contracts [Member] | Year 2016 [Member]

Loss Contingencies [Line Items]

Annual Commitment

625,000

Employment Contracts [Member] | Year 2016 Through 2018 [Member]

Loss Contingencies [Line Items]

Total Commitment

$ 2,625,000