Microsoft to shut down Skype

Microsoft announced that it will retire Skype in May and transition its services to Microsoft Teams, its primary platform for video conferencing and team collaboration. This marks the end of an era for Skype, the video-calling service Microsoft acquired for $8.5 billion in 2011.

Skype, which revolutionized online communication, will be phased out in favor of Teams, where users can continue to log in with their existing Skype accounts. The decision highlights Microsoft’s ongoing shift to prioritize Teams over Skype, as it competes in an increasingly crowded communications market.

Skype, founded in 2003 in Estonia, helped transform communication by enabling inexpensive VOIP calls and video chats, giving rise to a new era of global connectivity. As Skype gained popularity, it became a key tool for startups, businesses, and everyday users who enjoyed affordable international calls. By the time Microsoft acquired it in 2011, Skype had around 170 million users worldwide.

At its peak, Skype was synonymous with voice and video calls, but now Microsoft is betting on Teams to be its unified communications solution moving forward.