The VoIP industry really killed itself on this one. I can sum it up much better in two words: Internet Phone. Far less confusing, right?
Amazing how industry executives never caught this marketing hazard. So how does the internet phone work? It's rather simple, really.
You'll need three things to use VoIP. That's all.
#1: Broadband internet. Cable, DSL, or any other high speed connection.
#2: An adapter. Provided usually free-of-charge by the VoIP company.
#3: Your regular home phone. Any phone will work, and some VoIP like SunRocket will even give you free phones.
Simply plug the adapter into the router. No "geek knowledge" required. The instructions are usually very short and you can get it working within minutes.