Microsoft is set to retire its Skype internet calling service this May, marking the end of an era for the platform that once dominated the market.
Founded in 2003, Skype quickly became a household name by offering cheap audio and video calls, disrupting the traditional landline industry. At its peak, the service boasted hundreds of millions of users.
However, the platform has struggled to keep pace with competitors such as Zoom and Slack, which offer more user-friendly and reliable services. The decline can be attributed, in part, to Skype’s underlying technology, which was not optimized for the smartphone era.
Microsoft, which acquired Skype in 2011 for $8.5 billion, now aims to simplify its communication offerings by focusing on its Teams service. The company plans to integrate Teams more aggressively with other Office apps to attract corporate users, a key demographic for Skype in the past.
To ease the transition for users, Microsoft will allow them to log into Teams for free on any supported device using their existing Skype credentials. Chats and contacts will be migrated automatically.
Microsoft noted that Skype has played “an integral part of shaping modern communications.”
