Microsoft has announced that it will discontinue Skype in May, opting instead to introduce a free version of Microsoft Teams to take its place. This decision comes amidst a competitive landscape where VoIP services like WhatsApp, Zoom, FaceTime, and Messenger have become the go-to platforms for communication, pushing traditional direct calls to cellphones, a hallmark of Skype, into obsolescence.
According to The Verge, existing Skype users will seamlessly transition to the Microsoft Teams app, where they can access all their existing content, including message history and contacts, without the hassle of creating a new account. However, Microsoft plans to gradually eliminate the support for domestic and international calls.
For those Skype users not wishing to switch to Teams, Microsoft offers a tool to export their data, such as photos and conversation histories, allowing them to retain their Skype chat records.
Users have until May 5 to make their decision, as this is when Skype will officially go offline. Microsoft assures that existing Skype credits will be honored, but new customers will not have access to the paid Skype features that enable making or receiving calls to and from cellphones.
The most significant loss with Skype's shutdown is the capability to make direct calls to cellphones. Microsoft's Amit Fulay, vice president of product, told The Verge that while this feature was valuable during Skype's peak, its relevance has diminished. "Part of the reason is we look at the usage and the trends, and this functionality was great at the time when voice over IP (VoIP) wasn’t available and mobile data plans were very expensive," Fulay explained. "If we look at the future, that’s not a thing we want to be in."
Microsoft acquired Skype for $8.5 billion in 2011, aiming to enhance its focus on real-time video and voice communications and tap into Skype's then 160 million active users for new market opportunities. Skype once played a pivotal role in Microsoft's ecosystem, integrated across Windows devices and highlighted as a feature for Xbox consoles. However, Microsoft acknowledges that Skype's user base has stagnated in recent years, prompting a shift in focus towards Microsoft Teams for consumers.