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Microsoft buying skype for US $8.5 Billion

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Josh:
Microsoft buying skype for US $8.5 Billion

REDMOND, Wash., and LUXEMBOURG – May 10, 2011 – Microsoft Corp. (Nasdaq: “MSFT”) and Skype Global S.à r.l today announced that they have entered into a definitive agreement under which Microsoft will acquire Skype, the leading Internet communications company, for $8.5 billion in cash from the investor group led by Silver Lake. The agreement has been approved by the boards of directors of both Microsoft and Skype.

The acquisition will increase the accessibility of real-time video and voice communications, bringing benefits to both consumers and enterprise users and generating significant new business and revenue opportunities. The combination will extend Skype’s world-class brand and the reach of its networked platform, while enhancing Microsoft’s existing portfolio of real-time communications products and services.

With 170 million connected users and over 207 billion minutes of voice and video conversations in 2010, Skype has been a pioneer in creating rich, meaningful connections among friends, families and business colleagues globally. Microsoft has a long-standing focus and investment in real-time communications across its various platforms, including Lync (which saw 30 percent revenue growth in Q3), Outlook, Messenger, Hotmail and Xbox LIVE.

Skype will support Microsoft devices like Xbox and Kinect, Windows Phone and a wide array of Windows devices, and Microsoft will connect Skype users with Lync, Outlook, Xbox Live and other communities. Microsoft will continue to invest in and support Skype clients on non-Microsoft platforms.

“Skype is a phenomenal service that is loved by millions of people around the world,” said Microsoft CEO Steve Ballmer. “Together we will create the future of real-time communications so people can easily stay connected to family, friends, clients and colleagues anywhere in the world.”
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More at source

Carol Haynes:


See http://www.zdnet.com/blog/microsoft/microsoft-buys-skype-for-85-billion-creates-new-business-division/9406?tag=nl.e539

Presumably that will be the end of Skype as we know it and it will all be bundled into Windows Live Messenger with all the attendant crap that comes with it!

MS apparently are upbeat about support non-MS users but haven't we heard that before somewhere?

Stoic Joker:
Hm... I really can't decide how to feel about that. But I do wonder if they're going to go with a Live style Huggy-Feely interface, or do a clean straightforward business type interface.

Skype's interface has gotten progressively goofier with the last several updates, so I'd love to see a more back to basics strictly business UI.

Josh:
I believe Microsofts acquisition is more about integration and development of voip technologies into Windows, The Office Communications platform (which is fantastic, btw), and movement to expand VOIP supporting technologies.

Stoic Joker:
Presumably that will be the end of Skype as we know it and it will all be bundled into Windows Live Messenger with all the attendant crap that comes with it!-Carol Haynes (May 10, 2011, 11:16 AM)
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I'm not so sure that's guaranteed...And out of the three involved in the bidding (Google, FaceBook, MS), I do believe MS is the lesser evil.

FaceBook/Skype - Oh Goody I can Vcon with the Sheep on my farmville - Please let me die!
Google/Skype - Skype goes back into beta for the next decade as service slowly begins to totally suck.

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