This May marks the end of an era as Microsoft announces the retirement of Skype, the internet calling service that has transformed global communication over the past two decades.
By discontinuing Skype, Microsoft aims to streamline its communication tools and concentrate on its proprietary Teams service, the tech giant revealed today.
Launched in 2003, Skype revolutionized the telecommunications industry with its affordable audio and video calling features, quickly becoming synonymous with internet communication and amassing hundreds of millions of users at its peak.
However, in recent years, the platform has struggled to compete with more user-friendly and reliable alternatives like Zoom and Salesforce’s Slack.
During the pandemic, which increased the demand for online business communications, Microsoft turned its focus to Teams, integrating it extensively with other Office applications to attract corporate users—once a key demographic for Skype.
To facilitate a smooth transition, existing Skype users will be able to access Teams for free on any supported device using their current login details, with chats and contacts automatically transferred.
This marks another chapter in a series of ambitious initiatives that Microsoft has struggled to navigate, following similar fates for the Internet Explorer browser and Windows Phone.
Other tech giants have also faced challenges with online communication solutions, with Google attempting various tools, including Hangouts and Duo.
When Microsoft acquired Skype in 2011 for $8.5 billion after outbidding both Google and Facebook—its largest acquisition at the time—the service boasted around 150 million monthly users. By 2020, this figure had plummeted to approximately 23 million, despite a temporary increase during the pandemic.
“Skype has played a vital role in shaping modern communication. We are proud to have been part of its journey,” Microsoft stated today.
