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Microsoft to shut down Skype May 5, shifting focus to Teams

PNN & Agencies
Updated: February 28th, 2025, 22:28 IST
in Business, Sci-Tech
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Washington: Skype will make its final call May 5 as Microsoft prepares to shut down the internet calling service that transformed global communication. The move will allow the tech giant to streamline its offerings and concentrate on its Teams platform, Microsoft announced Friday.

Launched in 2003, Skype revolutionised voice and video calls by offering affordable alternatives to traditional landlines, amassing hundreds of millions of users at its peak. However, in recent years, it has struggled to compete with more user-friendly and reliable platforms like Zoom and Slack.

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Experts suggest many reasons for this. One key factor in Skype’s decline was its underlying technology, which was not optimised for the smartphone era. During the pandemic-driven shift to remote work, Microsoft pushed Teams aggressively, integrating it with Office apps to attract corporate users—once a major demographic for Skype.

The compnay stated that to ensure a smooth transition, Skype users can log into Teams for free on any supported device using their existing credentials. Chats and contacts will migrate automatically.

Skype now joins a list of once-prominent Microsoft ventures, such as Internet Explorer and Windows Phone, that failed to sustain long-term dominance. Other tech giants have also struggled in the online communication space, with Google launching and discontinuing multiple apps, including Hangouts and Duo.

Microsoft has not disclosed how many users or employees will be affected by the decision. When the company acquired Skype for $8.5 billion in 2011—outbidding Google and Facebook—the service had around 150 million monthly users. By 2020, that number had dwindled to roughly 23 million, despite a temporary resurgence during the pandemic.

“Skype has been an integral part of shaping modern communications,” Microsoft said Friday. “We are honored to have been part of the journey.”

PNN & Agencies

Tags: MicrosoftSkypeteamsvideo conferencing app
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