Microsoft today announced that it will officially retire Skype on May 5, 2025, concluding its 14-year tenure as the owner of the once-dominant internet calling and messaging service (via Bloomberg).
Microsoft acquired Skype in 2011 for $8.5 billion in what was then its largest-ever acquisition. At its peak, Skype had more than 300 million monthly active users and was synonymous with internet-based voice and video calling. The service steadily declined in relevance in recent years, with its active user base shrinking to approximately 36 million by 2023 as competitors such as Zoom, WhatsApp, and Microsoft’s own Teams platform gained traction.
Teams has since grown to 320 million monthly users, far surpassing Skype’s remaining user base. The company’s decision to discontinue Skype is apparently part of a broader effort to prioritize artificial intelligence features within Teams. Employees currently working on Skype will be reassigned to other projects rather than being laid off.
Read more at MacRumors.com