Microsoft to Acquire Skype

[ReynardMuldrake]

Originally Posted by Simplex3

I don't get this move. They already have a messenger with voice/video. The only add-on here would be the tie-in to traditional land line phones. Maybe Microsoft is going to try and compete with Google Voice? If that's the case fine, but $8.5B to get some telco relationships is a mighty hefty price to pay. Seems like a major swing and miss to me.

One problem Microsoft has is that they're so used to lying in wait, looking at the up and coming markets and players, then when something looks like a sure thing they step in and either buy a player or throw a ton of weight behind their own product. That game-plan won't work anymore for two reasons. First, they're no longer the big fish in the pond. Apple and Google can outspend them. Second is the raw speed this industry moves at now. By the time Microsoft finds a player and a market the market is already matured to the point nobody wants the Microsoft version that's a Johnny-come-lately.

They're not buying the product. They're buying the user base.

Per wikipedia, Skype today has over 600 million registered users.