Microsoft to End Skype, Launch Free Teams Version in May

Microsoft has officially announced that it will shut down Skype in May, opting to replace it with a free version of Microsoft Teams. This move comes amidst the dominance of communication platforms like WhatsApp, Zoom, FaceTime, and Messenger, which have largely overtaken the use of direct calls to cellphones—a feature that Skype was once known for.

According to The Verge, existing Skype users will be able to seamlessly transition to Microsoft Teams, with all their content, including message history and contacts, automatically available without needing to set up a new account. Microsoft plans to phase out the support for domestic and international calls that Skype currently offers.

For those who wish to preserve their Skype data, Microsoft has provided a tool to export photos and conversation history. This allows users to view their Skype chat history even if they decide not to switch to Teams. Users have a 60-day window to make their decision, with Skype set to go offline on May 5.

Microsoft assures that existing Skype credits will still be honored, but the company will cease offering new subscriptions for paid Skype features that enable international and domestic calls. The real loss with Skype's shutdown is the ability to make calls to cellphones, a feature that, according to Microsoft, has seen declining usage. Amit Fulay, Microsoft's vice president of product, explained to The Verge that while telephony functionality was crucial during Skype's peak, it's less relevant now due to the widespread availability of VoIP and affordable mobile data plans. Fulay stated, "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. Skype once played a significant role across Windows devices and was even promoted as a feature for Xbox consoles. However, Microsoft acknowledges that the Skype user base has stagnated in recent years, leading to a shift in focus towards Microsoft Teams for consumer use.