End of an Era: Microsoft to Shut Down Skype in May and Replace It With Free Version of Microsoft Teams

Microsoft is shutting down Skype in May, replacing it with a free version of Microsoft Teams. This move comes as services like WhatsApp, Zoom, FaceTime, and Messenger dominate VoIP communication, diminishing the need for Skype's traditional cellphone calling features.

Current Skype users can seamlessly transition to Microsoft Teams. Their message history, contacts, and other content will be readily available without needing a new account. However, Microsoft will discontinue support for domestic and international calls. Users can also export their Skype data, including photos and conversation history, using a tool provided by Microsoft for those who prefer not to switch to Teams.

You have until May 5th to decide, a 60-day window. Microsoft will honor existing Skype credits, but will no longer offer paid Skype features for making or receiving international and domestic calls to new customers.

The primary loss with Skype's shutdown is the ability to directly call cell phones. Microsoft explains that while this telephony feature was vital during Skype's peak, when VoIP and mobile data were less accessible, it's now less relevant. Amit Fulay, Microsoft's vice president of product, stated that this functionality is no longer a focus for the company's future plans.

Microsoft acquired Skype in 2011 for $8.5 billion, aiming to bolster its real-time communication offerings and leverage Skype's then-massive user base (over 160 million active users). While Skype was once integral to Windows devices and even promoted as an Xbox feature, Microsoft admits its user base has plateaued in recent years. The company is now concentrating its consumer communication efforts on Microsoft Teams.