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Microsoft to acquire Skype for $8.5 billion

Microsoft Corp. said May 10 it has agreed to buy Internet telephone service Skype for $8.5 billion (¥685 billion) in the biggest deal in the software maker's 36-year history.

Buying Skype would give Microsoft a potentially valuable communications tool as it tries to become a bigger force on the Internet and in the increasingly important smartphone market.

Microsoft said it will marry Skype's functions to its Xbox game console, Outlook email program and Windows smartphones. The company said it will continue to support Skype on other software platforms.

About 170 million people log in to Skype's services every month. Skype users made 207 billion minutes of voice and video calls last year.

Most people use Skype's free calling services, which has made it difficult for the service to make money since entrepreneurs Niklas Zennstrom and Janus Friis started the company in 2003. An average of about 8.8 million customers per month, or just over 1 percent of the user base, pay to use Skype services. (AP)

Shukan ST: May 20, 2011

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World News Microsoft to acquire Skype for $8.5 billion Microsoft Corp. said May 10 it has agreed to buy Internet telephone service Skype for $8.5 billion (¥685 billion) in the biggest deal in the software maker's 36-year history. Buying Skype would give Microsoft a potentially valuable communications tool as it tries to become a bigger force on the Internet and in the increasingly important smartphone market. Microsoft said it will marry Skype's functions to its Xbox game console, Outlook email program and Windows smartphones. The company said it will continue to support Skype on other software platforms. About 170 million people log in to Skype's services every month. Skype users made 207 billion minutes of voice and video calls last year. Most people use Skype's free calling services, which has made it difficult for the service to make money since entrepreneurs Niklas Zennstrom and Janus Friis started the company in 2003. An average of about 8.8 million customers per month, or just over 1 percent of the user base, pay to use Skype services. (AP) Shukan ST: May 20, 2011 (C) All rights reserved