A system and method are disclosed for selective processing of calls using alternative network telephony. Called party data is received indicating a destination to which a calling party using a local telephone equipment desires to place a call. It is determined transparently to the calling party whether the called party data satisfies a first criteria for completing calls via alternative network telephony. The call is completed using alternative network telephony if it is determined that the called party data satisfies the first criteria. The call is completed via the public switched telephone network (PSTN) if it is determined that the called party data does not satisfy the first criteria.