Skype, one of the first platforms to change how people communicate online, will cease operations this May. After two decades of service, Microsoft has announced the closure of the platform, marking the end of a significant chapter in the history of video and online calls.
The company stated that users would be able to switch to Microsoft Teams for free using the same login credentials.
Skype was launched in Estonia in 2003 and quickly became one of the leading apps for free calls worldwide. At a time when international calls were expensive, Skype provided a revolutionary solution – free, high-quality internet calls.
The service's popularity surged, and by 2005, Skype was acquired by eBay for $2.6 billion. However, the deal did not succeed, and in 2009, eBay sold most of its shares to private investors.
In 2011, Microsoft acquired Skype for $8.5 billion – the largest purchase in the company's history at the time. Microsoft integrated Skype into its range of services, including Office and its mobile operating system, but over the years, it struggled to maintain its position as a market leader.
Although Skype experienced a brief resurgence during the COVID-19 pandemic, when video call platforms saw a surge in use, it struggled to compete with the growing number of rival services.
Apps like Zoom, Google Meet, and Cisco WebEx gained more significant success, offering a more user-friendly experience and advanced interfaces.
Meanwhile, instant messaging apps like Meta’s WhatsApp and Apple’s FaceTime provided users with simpler and more accessible video call solutions without requiring additional software installation. This made Skype seem like an outdated brand that could not keep up with technological advancements.
One of the main reasons behind Microsoft’s decision to shut down Skype is its substantial investment in Microsoft Teams. Initially launched as a collaboration tool, Teams gained massive popularity, particularly as a key remote work solution for organizations.
Microsoft has already integrated most of Skype’s functions into Teams and even offered Skype users the ability to log into the new service with their existing credentials. With the continued success of Teams, the company determined there was no reason to maintain two similar services.
While the shutdown of Skype marks the end of an era in online communication platforms, it also highlights the dynamic nature of the tech industry. Apps that were once innovative and groundbreaking make way for newer platforms that better suit modern user needs.
Although Skype’s closure may evoke nostalgia for many, the transition to more advanced services seems inevitable. Microsoft Teams, WhatsApp, Zoom, and other platforms will continue to lead digital communication, and users will adapt to new technologies – just as they always have.