Microsoft is shutting down Skype, the internet-based phone and video service that was once the leading method for staying connected in the mid-2000s.
Starting in May, Skype will no longer be available, according to an announcement from the company. Users will be able to use their Skype login information on the free tier of Microsoft Teams in the near future.
Skype’s shutdown marks the end of a 14-year journey since Microsoft acquired the service for $8.5 billion, which was the company’s largest acquisition at the time. Microsoft later integrated Skype into its products, including Office and its unsuccessful mobile operating system, Windows Phone.
Although Skype gained a boost during the pandemic, its popularity has diminished in recent years, especially with the rise of competing platforms like Zoom, Google Meet, and Cisco WebEx. Additionally, apps such as Apple’s FaceTime and Meta’s WhatsApp have contributed to its decline, while Microsoft has invested heavily in Teams, which offers many of the same features.
Launched in 2003 in Estonia, Skype quickly became a popular way to make free international calls, an attractive alternative to expensive traditional phone services. The service’s rapid growth led eBay to purchase it in 2005 for $2.6 billion. However, the partnership didn’t work out, and eBay sold its 65% stake in Skype to an investor group for $1.9 billion in 2009 before Microsoft acquired the company in 2011.