Microsoft Ends Skype Era, Launches Free Teams in May

Microsoft has officially announced that it will discontinue Skype in May, replacing it with a free version of Microsoft Teams. This move comes as other platforms like WhatsApp, Zoom, FaceTime, and Messenger have taken the lead in voice over IP (VoIP) communication, pushing traditional cellphone calls via services like Skype into obsolescence.

According to a report by The Verge, existing Skype users will seamlessly transition to Microsoft Teams without the need for a new account. They will find all their existing content, including message history and contacts, readily available on the new platform. However, Microsoft plans to phase out support for domestic and international calls.

For those who prefer not to switch to Teams, Microsoft offers a tool to export Skype data, such as photos and conversation history, allowing users to retain their chat logs. Users have a 60-day window to make their decision, as Skype will go offline on May 5. Microsoft will continue to honor existing Skype credits but will no longer offer new customers access to paid features that facilitate domestic and international calls.

The most significant change with Skype's shutdown is the loss of direct calling to cellphones. Microsoft's vice president of product, Amit Fulay, explained to The Verge that while this feature was once valuable during Skype's peak popularity, it has become less relevant. "Part of the reason is we look at the usage and the trends, and this functionality was great at the time when voice over IP (VoIP) wasn’t available and mobile data plans were very expensive," 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 was integrated into all Windows devices and was even a selling point for Xbox consoles. However, Microsoft acknowledges that Skype's user base has not grown in recent years, leading to the shift in focus towards Microsoft Teams for consumer use.