Home Mobile Is MIcrosoft Going to Buy Skype for $8 Billion?

Is MIcrosoft Going to Buy Skype for $8 Billion?

The Wall Street Journal is reporting that Microsoft seems to be the last standing company rumored to be in talks to purchase the popular Internet telephone and video chat company Skype for close to $8 Billion. Neither company is commenting and the Journal article fudges a bit saying the negotiations are not final and could fall through.

The big question is what would Microsoft do with the service if they do buy? They could build it into Windows or one of their other offerings like Microsoft Office, Windows Live Messenger, or some other application. They could continue to run it as a standalone client. Surely the large number of users who rely on it would be uncomfortable with Microsoft doing anything other than the last option.

Skype

According to the Journal, Skype is heavily in debt and not turning a profit. Microsoft has deep pockets and could continue to run Skype despite its losses.

At this point this is in the rumor phase, but we might know if the report is accurate as soon as tomorrow. The San Francisco Chronicle reports that says that it is probably not a buyout but merely a partnership between Skype and Microsoft’s business communications service Lync. The Skype team was reportedly preparing all weekend for a major partnership announcement to come this week.

Previous rumors reported that Facebook and Google might also be in talks to buy out the company. Skype is poised for an initial public offering if none of these rumored deals come through.

Load More In Mobile

9 Comments

  1. Brendan Godfrey

    05/10/2011 at 3:56 am

    Microsoft is 100% tech company, and it is the most innovating company at the moment. So buying Skype is just a next logical step. Google on the oher hand is advertising company. Innovation for Google is just loosing advertisement money.

    Reply

  2. BloggerShaon

    05/10/2011 at 6:17 am

    Hmm, Great new for all techie related peoples. but need to see what would Microsoft do with Skype.

    Reply

  3. Limo Hire

    05/10/2011 at 7:58 am

    Wow, Great news. Microsoft is Top company of tech, I think the deal is not final then it is able to built a setup like skype.

    Reply

  4. Gabriel Bowen

    05/10/2011 at 8:08 am

    I was hoping that Google would buy it because they are starting to lose their lead in the Tech industry. Increased competition from Microsoft, Apple, and Facebook. But the plus if Microsoft having this is maybe they can combine it with Kinect somehow. I don’t know if they could do that, but if it’s possible, that would create a superior video service. Also, Microsoft definitely overpaid for Skype, but it was probably for the best if they wanted to beat out Google. Competition is tough.
    http://GBsTechNews.com

    Reply

  5. wood plastic composite

    05/10/2011 at 8:49 am

    Great news.
    Competition is tough.

    Reply

  6. outsourcingcompany

    05/10/2011 at 10:28 am

    A sudden turn like this is quite fascinating. Google beware MS is buying Skype. hehe. I always thought google would be the first to make a move.

    Reply

  7. Gurgaon

    05/10/2011 at 11:12 am

    I think it such a great deal for both businesses…… Let see what’s the actual result in front of users.

    Reply

  8. online stores

    05/10/2011 at 12:36 pm

    I’ll see Skype just becoming another exclusive windows
    program with poor support for Mac OS and Linux, if any support at all. This is
    bad.

    Reply

  9. Sean

    06/29/2012 at 2:47 am

    Whaaaat? 8 billion for Skype? Whya? You can download it for free :D

    ( just to make it clear – I’m just being sarcastic )

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *