Microsoft has announced that Skype will be discontinued on May 5, 2025, marking the end of an era for the once-dominant internet calling service. The company confirmed that existing Skype users will be able to migrate their chats and contacts to Microsoft Teams (free).
Microsoft acquired Skype in 2011 for $8.5 billion, making it the company’s largest purchase at the time. Over the years, the service was integrated into various Microsoft products, including Office and the now-defunct Windows Phone platform.
Despite a brief resurgence during the pandemic, Skype has steadily lost ground to competitors such as Zoom, Google Meet, and Cisco Webex. Additionally, Apple’s FaceTime and Meta’s WhatsApp further diminished its relevance. Meanwhile, Microsoft has invested heavily in Teams, which offers similar communication features and was introduced in 2017.
Skype was founded in Estonia in 2003 and quickly gained traction as a free alternative to expensive international calls. Its success led to eBay acquiring the company for $2.6 billion in 2005. However, that deal proved unfruitful, and eBay sold 65% of its stake to investors for $1.9 billion in 2009, before Microsoft’s full acquisition in 2011.
As the May 2025 shutdown approaches, Microsoft encourages users to transition to Teams (free) to maintain access to their conversations and contacts.
Image: Microsoft
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Microsoft acquired Skype in 2011 for $8.5 billion, making it the company’s largest purchase at the time. Over the years, the service was integrated into various Microsoft products, including Office and the now-defunct Windows Phone platform.
Despite a brief resurgence during the pandemic, Skype has steadily lost ground to competitors such as Zoom, Google Meet, and Cisco Webex. Additionally, Apple’s FaceTime and Meta’s WhatsApp further diminished its relevance. Meanwhile, Microsoft has invested heavily in Teams, which offers similar communication features and was introduced in 2017.
Skype was founded in Estonia in 2003 and quickly gained traction as a free alternative to expensive international calls. Its success led to eBay acquiring the company for $2.6 billion in 2005. However, that deal proved unfruitful, and eBay sold 65% of its stake to investors for $1.9 billion in 2009, before Microsoft’s full acquisition in 2011.
As the May 2025 shutdown approaches, Microsoft encourages users to transition to Teams (free) to maintain access to their conversations and contacts.
Read next:
• Global Smart Glasses Shipments are Expected to Grow in 2025 After the Success of Ray-Ban Meta Smart Glasses
• New Survey Shows that Most of the Users Feel that Google’s Search Results Quality has Deteriorated
