End of an Era: Microsoft to Shut Down Skype in May and Replace It With Free Version of Microsoft Teams

Microsoft is shutting down Skype in May, transitioning users to a free version of Microsoft Teams. This move comes as VoIP services like WhatsApp, Zoom, FaceTime, and Messenger dominate the communication landscape, rendering traditional cellphone calls via Skype less relevant.

Existing 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. Users can also export their Skype data, including photos and chat history, using a provided tool. A 60-day window begins May 5th for users to make the transition. Microsoft will honor existing Skype credits but will no longer offer paid Skype features for making calls.

The key loss with Skype's closure is the ability to make calls to cellphones. Microsoft explains that while this was crucial during Skype's peak, when VoIP and mobile data were less accessible, it's now less significant. Amit Fulay, Microsoft's vice president of product, stated that this functionality is no longer a priority for the company's future plans.

Microsoft's 2011 acquisition of Skype for $8.5 billion aimed to bolster its real-time communication offerings. While Skype was once integrated into Windows devices and promoted as an Xbox feature, Microsoft acknowledges recent stagnation in its user base. The company is now focusing on Microsoft Teams for consumer use.