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Microsoft buying Skype for $8.5 Billion

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Post May 10th, 2011, 12:23 pm

Quote:
Microsoft has agreed to buy Internet phone service provider Skype for $8.5 billion in cash, the companies announced Tuesday.

Skype -- currently owned by a group led by private equity firm Silver Lake -- will become a new business unit within Microsoft, which will be run by Tony Bates, the company's current chief executive.

Microsoft said it plans to incorporate Skype's real-time video and voice communications into its existing product lines, including Office, Windows Phone and the Xbox gaming system.


http://money.cnn.com/2011/05/10/technol ... ?iid=HP_LN

Overall from my understanding, Skype has been profitable but in the last year they were not. Apparently the majority of their users only use the free version of the Internet Phone.

Skype was actually first purchased by Ebay back in 2005 for $2.6 Billion, but things did not work out for Ebay and they ended up selling Skype to a group of investors for $1.9 Billion in 2009. The Skype deal would rank as the biggest acquisition in the 36-year history of Microsoft.
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Post May 10th, 2011, 12:23 pm

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Post May 10th, 2011, 3:24 pm

At least Symantec didn't buy it.
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Post May 10th, 2011, 6:13 pm

yea i am suprised about that. alittle much if you ask me but hey its Microsoft we are talking about. I would of figured google would of gotten there hands on it first..
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Post May 11th, 2011, 1:30 am

But google has Google Talk and they are building their own ISP in a way, when google starts building infrastructure to the network then they will just have their own network to run off.
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Post May 12th, 2011, 8:05 am

Good for Skype. I bet Microsoft have great plans for Skype, perhaps they will add it to hotmail/msn or something.
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Post May 13th, 2011, 7:47 pm

actually they are talking about adding it to the xbox live,windows phones, and hotmail...

where have you been???? :hmm:
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Post May 26th, 2011, 7:40 am

Didn't take them long to break their first open source partnership

http://www.zdnet.com/blog/networking/mi ... rship/1111
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Post May 26th, 2011, 8:16 am

Or better yet:

http://www.thinq.co.uk/2011/5/26/skype- ... and-burns/
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Post May 26th, 2011, 11:29 am

Does Microsoft owns Skype yet or is it still just a deal on paper?
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