Microsoft buys Skype for $8.5 billion

[kuwisdelu]

Microsoft is buying Skype for $8.56 billion.

article (http://www.wired.com/epicenter/2011/05/microsoft-buys-skype-2/)

First off, $8.5 billion?? Microsoft, you don't have that kind of money to throw at something you don't need.

My own worry is how they will continue to support non-Windows systems. And I dearly hope they don't rebrand it with some godawful Windows Live name. Your thoughts, Skype users?

[IllustriousKnight]

Same, I really hope they don't rebrand it, hike up prices or let there be a drop in overall quality!

$8.5bn is some serious cash to spend on acquiring Skype. I suppose Microsoft are planning to integrate Skypes VOIP technology into their mobiles phones etc.

Just keep it as it is, and I'll be happy lol

[cbenoi1]

It's one application Google and Facebook won't have. This is a strategic move that amounts to a kick in the nuts for the competition. I don't believe it has to do with any mobile strategy because the Vole has no mobile strategy that works or in which their investors believe in.

As for multi-platform versions, users will flock away from Skype and lock their sights on the first GNU mee-too they see, which will become an overnight wonder. The Vole will then be justified in dropping the non-Windows versions and rebrand it.

I'd be curious to know what sort of patent portfolio came with the purchase.

-cb

[maestrowork]

Microsoft needs to compete with Google. I'm not too worried about MS making Skype Windows only... after all, a lot of their stuff is cross-platform anyway (IE, Office, Messenger, etc.) It's just their way to compete with Google Voice.

[maestrowork]

It's one application Google and Facebook won't have.

Um, Google Voice has VoIP. Plus you can use 3rd party software and services such as Sip Phone. So it's not like Skype is the only thing available out there.

[kuwisdelu]

Microsoft needs to complete with Google. I'm not too worried about MS making Skype Windows only... after all, a lot of their stuff is cross-platform anyway (IE, Office, Messenger, etc.) It's just their way to compete with Google Voice.

You can currently use Skype on Linux. I don't think MS has Linux versions of those.

[maestrowork]

Nobody use Linux anyway. :-P

[kuwisdelu]

:(

[ave]

well I guess we can now look forward to a home version with text, voice and video disabled.
upgrades that break your system
security flaws
lawsuits against every other voip system


Nobody use Linux anyway. :-P

blasphemy!!

[kuwisdelu]

I don't use Linux as a main OS either, but as a OS X user who frequents the Terminal, I consider all *nix OS's my brethren.

I don't know... I have mixed feelings here. On the one hand, Microsoft does have some talented programmers when they manage to have a good idea. The problem is that they tend to lack good ideas and ruin a lot of their acquisitions (KIN, anyone?). MS should also be able to throw a lot more developers and money at Skype than the previous owners, but that doesn't necessarily mean improvement.

Beyond that, what is MS's history with Linux compatibility? They're decent, if niggardly, with their OS X support, but I can't recall any MS products with good Linux support. With Linux's supremacy in the server space, I would hope that MS has some compatibility with its products, but I've never heard of any consumer-oriented MS product that's available on Linux (though to be fair, Apple doesn't have any either, but they also have a better history of implementing open source products, e.g., Webkit, that can be used easily and extensively on fellow *nix's). I may not use Linux myself, but know a lot of people (yeah, fellow students and professors) that do and rely on Skype for communication when face-to-face isn't possible.

Anyway, I hope they deliver.

Of course, in my ideal world, Apple would have already released the Facetime specifications as an open standard (since it's "built on them" and seems to be a lot more bandwidth/cpu-friendly than any other video-chat I've tried) and MS (motivated by its lack of presence in the smartphone space, and their common enemy Android) would incorporate Facetime into a new Skype spec, leaving Google as the lone holdout, who would (hopefully) eventually succumb, finally giving US peeps a video calling standard. But, alas, I dream.

[cbenoi1]

Um, Google Voice has VoIP. Plus you can use 3rd party software and services such as Sip Phone. So it's not like Skype is the only thing available out there.
Did you actually use Google Voice? Because I can't. It says "Google Voice is not available in your country". Jesus! It's not like I live in Tadjikistan...

-cb

[Jamesaritchie]

Good deal for Microsoft, and they can certainly afford it.

[maestrowork]

Did you actually use Google Voice? Because I can't. It says "Google Voice is not available in your country". Jesus! It's not like I live in Tadjikistan...

-cb

I live in the US. Sorry, Canadians. :)

That doesn't mean Google Voice won't go international, though. I think they have plans for it. Anyway, my point is, Microsoft has to compete, and Skype is their "best buy."

[AmericaMadeMe]

Same, I really hope they don't rebrand it, hike up prices or let there be a drop in overall quality!

$8.5bn is some serious cash to spend on acquiring Skype. I suppose Microsoft are planning to integrate Skypes VOIP technology into their mobiles phones etc.



Wow. Microsoft phone users. Not many of those. So far, Microsoft hasn't gained any traction in the cellphone market. All they've accomplished by investing hundreds of millions - or should I say billions, is to undermine the MeeGo OS, which in turn has only served to irritate Intel, which in turn has forced Intel to move closer to Apple. Right now, there is about zero demand for Windows 7 phones. Will Windows 8 be a winner? Nope. Not in the smartphone market, and it's looking as if the PC market is endangered as well. Just keep it as it is, and I'll be happy lol

The problem with Skype is that it isn't very profitable. Does it make sense to invest $8,500,000,000 in something that makes only $150,000,000 per year. Should Microsoft shareholders be content with an investment that will pay for itself in 57 years? Nope. Skype needs to generate revenues from individual users, not just business teleconference users. Skype is broken. It remains to be seen if Microsoft can fix it. Doubtful.

[misslissy]

Even though I know this is a little bit of an old discussion, I was really upset when I heard this because I was like "Nooooo Skype. You sustained me in a 2 and a half year LDR, don't go to the darkside now." And then I turned to my husband and was like "Now we will never talk to your parents again." He says though that even though it was bought by Microsoft, it will still be run by the same people who were running it before. I don't have a link to this, but he told me that was part of the deal (and he's a techy guy so I trust him).

[Tirjasdyn]

Consider all MS accounts are tied to Live I'm sure they'll tie Skype into that as well.

This is kind of like At&t's acquisition of Tmobile. Why build a network when you can just buy one?