Microsoft completes $8.5b acquisition of Skype

PanARMENIAN.Net - Microsoft has completed its $8.5 billion acquisition of Skype Global, giving the software company a major foothold in the growing market for Internet telephony services.

"Skype is a phenomenal product and brand that is loved by hundreds of millions of people around the world," Microsoft CEO Steve Ballmer said in a statement late last night. "We look forward to working with the Skype team to create new ways for people to stay connected to family, friends, clients and colleagues - anytime, anywhere."

Microsoft announced in May the deal to acquire Skype. A final hurdle was cleared last week when European regulators approved the deal.

Skype had 65 million daily users, the company said last month. Collectively, they spent 700 million minutes a day on Skype audio calls, 300 million minutes a day on Skype video calls, and 30 million minutes a day on calls with ordinary phones.

Skype CEO Tony Bates now is president of Microsoft's Skype Division.

Skype products will be integrated into Microsoft products, but they'll continue to be offered where they are today, Microsoft said. Skype apps are available for iOS and Android, which compete with Windows Phone, and on Mac OS and Linux, which compete with Windows.

Bates expects Skype growth to increase under Microsoft. "Together, we will be able to accelerate Skype's goal to reach 1 billion users daily," Bates said in a statement, CNET reported.