emirates7 - Skype will soon join the list of once-dominant but now obsolete platforms, such as AOL Instant Messenger, MySpace, and Internet Explorer, according to an announcement from its parent company, Microsoft.
On Friday, Microsoft confirmed that the video and voice messaging service will be discontinued in May. In a post on X, the company stated, “Over the coming days, you can sign in to Microsoft Teams Free with your Skype account to stay connected with all your chats and contacts. Thank you for being part of Skype.”
In an extensive press release, Microsoft outlined its strategy to "streamline communications offerings" and shift its focus toward Microsoft Teams, which it described as its “modern communications and collaboration hub.” Skype’s decline in influence is likely due to various factors, including competition from Zoom, one of Microsoft Teams’ biggest rivals.
The Rise and Fall of Skype
Although Microsoft did not Skype, it acquired the platform in 2011 for approximately $8.5 billion at the height of its popularity. At its peak, Skype dominated the global messaging market by offering users an alternative to costly long-distance and cellular wireless calls.
However, as the video communication landscape grew increasingly competitive, Skype’s market share began to erode. The growing dominance of Apple’s iPhone and its FaceTime service significantly impacted Skype’s user base. Additionally, Microsoft faced criticism over advertisements on the platform, which many users found intrusive and disruptive to the overall experience.
Skype’s decline accelerated during the COVID-19 pandemic in 2020, when Zoom surged ahead due to its ease of use and seamless functionality across various devices. By 2024, Zoom commanded approximately 55% of the market, while Skype’s share had dwindled to just over 1%, according to data from Statista.
Microsoft Teams Emerges as a Key Player
Despite Skype’s downfall, Microsoft remains competitive in the video conferencing space, largely due to the success of its Teams platform, which integrates video conferencing with work collaboration tools. As of 2024, Microsoft Teams holds a 32% market share, making it the second most widely used video communication service after Zoom.
“The way we communicate has evolved significantly over the years. From instant messaging to video calls, technology has continuously transformed how we connect with each other,” said Jeff Taper, Microsoft’s president of collaborative apps and platforms.
He acknowledged Skype’s impact on modern communication, stating, “Skype has played a pivotal role in shaping digital interactions and fostering countless meaningful connections. We are grateful to have been part of this journey and recognize that change can be difficult. We’re committed to supporting users through this transition.”
Microsoft reports that "hundreds of millions" of people currently use Teams. However, the platform has not been without challenges. In 2024, Microsoft unbundled Teams from its Office suite following antitrust scrutiny from European Union regulators.
With Skype’s departure, Microsoft is doubling down on Teams as its primary communications platform, solidifying its position in the evolving landscape of digital collaboration.
On Friday, Microsoft confirmed that the video and voice messaging service will be discontinued in May. In a post on X, the company stated, “Over the coming days, you can sign in to Microsoft Teams Free with your Skype account to stay connected with all your chats and contacts. Thank you for being part of Skype.”
In an extensive press release, Microsoft outlined its strategy to "streamline communications offerings" and shift its focus toward Microsoft Teams, which it described as its “modern communications and collaboration hub.” Skype’s decline in influence is likely due to various factors, including competition from Zoom, one of Microsoft Teams’ biggest rivals.
The Rise and Fall of Skype
Although Microsoft did not Skype, it acquired the platform in 2011 for approximately $8.5 billion at the height of its popularity. At its peak, Skype dominated the global messaging market by offering users an alternative to costly long-distance and cellular wireless calls.
However, as the video communication landscape grew increasingly competitive, Skype’s market share began to erode. The growing dominance of Apple’s iPhone and its FaceTime service significantly impacted Skype’s user base. Additionally, Microsoft faced criticism over advertisements on the platform, which many users found intrusive and disruptive to the overall experience.
Skype’s decline accelerated during the COVID-19 pandemic in 2020, when Zoom surged ahead due to its ease of use and seamless functionality across various devices. By 2024, Zoom commanded approximately 55% of the market, while Skype’s share had dwindled to just over 1%, according to data from Statista.
Microsoft Teams Emerges as a Key Player
Despite Skype’s downfall, Microsoft remains competitive in the video conferencing space, largely due to the success of its Teams platform, which integrates video conferencing with work collaboration tools. As of 2024, Microsoft Teams holds a 32% market share, making it the second most widely used video communication service after Zoom.
“The way we communicate has evolved significantly over the years. From instant messaging to video calls, technology has continuously transformed how we connect with each other,” said Jeff Taper, Microsoft’s president of collaborative apps and platforms.
He acknowledged Skype’s impact on modern communication, stating, “Skype has played a pivotal role in shaping digital interactions and fostering countless meaningful connections. We are grateful to have been part of this journey and recognize that change can be difficult. We’re committed to supporting users through this transition.”
Microsoft reports that "hundreds of millions" of people currently use Teams. However, the platform has not been without challenges. In 2024, Microsoft unbundled Teams from its Office suite following antitrust scrutiny from European Union regulators.
With Skype’s departure, Microsoft is doubling down on Teams as its primary communications platform, solidifying its position in the evolving landscape of digital collaboration.