Microsoft Shuts Down Skype After 21 Years to Focus on Teams
Skype, the iconic internet calling service that once transformed global communication, will ring for the last time on Monday, 5 May. Microsoft is retiring the platform to streamline its communication tools and shift its focus to Microsoft Teams.
Microsoft Skype Fades as Teams Takes the Lead
Microsoft announced the decision in February, saying it would help simplify the company’s product offerings. By retiring Skype, Microsoft aims to consolidate its efforts behind Teams, its all-in-one business communication platform.
First launched in 2003, Skype revolutionised how people made calls across borders. At its height, it boasted hundreds of millions of users and became a preferred choice for both personal and business conversations. However, in recent years, Skype has struggled to keep pace with more user-friendly platforms like Zoom and Slack.
A key reason for its decline was its older technology, which was not well-suited to mobile devices. This made it difficult for Skype to thrive in the smartphone-driven world.
Pandemic Push Accelerated the Shift to Teams
The COVID-19 pandemic dramatically increased the need for online meetings and business communication tools. Microsoft seized the moment to promote Teams, integrating it deeply with its Office software. This helped Teams win over corporate users — a group that once relied heavily on Skype.
To make the change smoother for existing users, Microsoft will allow them to log into Teams using their current Skype credentials. Their chats and contacts will automatically transfer to the new platform, avoiding the need to start from scratch.
End of an Era for Microsoft’s Communication Bets
Skype now joins the list of Microsoft products that began with great promise but faded over time. Others include Internet Explorer and the Windows Phone. Microsoft purchased Skype in 2011 for $8.5 billion, outbidding tech giants like Google and Facebook. At the time, Skype had around 150 million monthly users.
Despite a brief increase during the pandemic, user numbers dropped to about 23 million by 2020. Microsoft did not disclose recent figures but confirmed that Teams currently has around 320 million monthly active users. The company also clarified that the shutdown will not lead to job losses.
Other tech firms have faced similar challenges with messaging apps. Google, for example, has launched and retired several products including Hangouts and Duo.
with inputs from Reuters
