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Microsoft has announced it will retire Skype, the internet calling service it acquired in 2011 for $8.5 billion. The service will officially cease operations on May 5, 2025, marking the end of an era for the platform that once revolutionized online communication. The company stated that Skype's closure is intended to streamline its communication offerings and provide a more integrated experience through Microsoft Teams, which has gained immense popularity as a collaboration hub for businesses, schools, and personal use. "We will be retiring Skype in May 2025 to focus on Microsoft Teams (Free)," said Jeff Teper, president of collaborative apps and platforms at Microsoft.
Launched in 2003, Skype quickly became a household name, promoting free internet-based voice and video calls. However, in recent years, usage has dwindled significantly due to increased competition from applications like Zoom, WhatsApp, and FaceTime. Microsoft had already transitioned Skype for Business into Teams back in 2017, recognizing the need for a more robust solution. Despite initial growth during the pandemic, Skype's user base dropped from a peak of around 660 million users in 2010 to approximately 36 million by 2023.
As part of the transition, existing Skype users will be able to log into Teams using their current credentials, accessing their message history and contacts. Users will also have the option to export their data before the shutdown. Microsoft's focus now is on ensuring that Teams becomes the definitive platform for both consumers and businesses.
The closure of Skype leaves many users nostalgic as its legacy sits at the intersection of technological evolution and personal connection. Users have begun sharing their reactions and memories online, with many expressing sadness over the announcement. As one user noted, "This is shocking," highlighting the emotional connection people have developed with the platform over the years. The move comes as part of a broader trend within Microsoft as it shifts towards more integrated applications. For more information, visit the original articles by BBC, Business Insider, and other sources.