Microsoft Buys Skype for $8.5 Billion

Microsoft Acquires Skype

In its biggest-ever acquisition, Microsoft is buying Skype. Microsoft is paying $8.5 billion in cash to an investment group led by Silver Lake, which bought Skype from ebay for $2 billion in 2009. Microsoft is hoping that the steep price will get them a product that can compete with Google and iOS in terms of live chat.

Photos

February 12, 2009-11.03.27

see larger image

uploaded by gcbb

Soon Skype will be intergrated with Microsoft products ranging from Outlook to Xbox Kinect. This means video chat, as opposed to Star Wars-style holographic communication.

A Microsoft statement read, "The combination will extend Skype's world-class brand and the reach of its networked platform, while enhancing Microsoft's existing portfolio of real-time communications products and services." Actually, the first hurdle will be convincing users that MS won't end up ruining Skype.

Skype has around 660 million registered users, around 25% of whom are active.