Microsoft is shutting down Skype in May, transitioning users to a free version of Microsoft Teams. This move comes as VoIP communication is dominated by platforms like WhatsApp, Zoom, FaceTime, and Messenger, rendering traditional cellphone calls via Skype less relevant.
Current Skype users can seamlessly transfer their data (messages, contacts) to Microsoft Teams without creating a new account. However, Microsoft will discontinue support for domestic and international calls. A data export tool is available for users who prefer not to migrate to Teams, allowing them to access their Skype chat history.
Users have a 60-day window (until May 5th) to decide. Existing Skype credits will be honored, but Microsoft will cease offering paid Skype features for making international and domestic calls to new customers.
The primary loss with Skype's closure is the ability to make calls to cell phones. Microsoft explained to The Verge that while this functionality was crucial during Skype's peak, its importance has diminished due to widespread VoIP availability and affordable mobile data plans. Microsoft's VP of product, Amit Fulay, stated that this isn't a market they wish to remain in.
Microsoft acquired Skype for $8.5 billion in 2011, aiming to enhance its real-time communication offerings. Skype was once integral to Windows devices and even promoted as an Xbox feature. However, Microsoft acknowledges stagnant user growth in recent years, prompting the shift towards Microsoft Teams for consumer use.