Rumor: Microsoft entering into Skype deal talks?

Last week rumors hit the Internet that the VoIP based telephone company Skype was in talks to either be acquired or join in a huge deal with a major Internet company. Now yet another company has supposedly entered the fray, at least according to a new story at GigOm. Using unnamed sources, the story says that Microsoft could be in talks with Skype for "partnering with, acquiring or investing in Skype."

Last week Reuters reported, again via unnamed sources, that social networking company Facebook was in talks to either flat out acquire Skype or partner with it in a joint venture. The same story said that Google was also in talks with Skype about creating some kind of partnership. The talks were supposed to be in an early stage, according to the Reuters story. However today's GigaOm report claims via its own sources that some kind of major deal will be announced by Skype sometime this week "perhaps as soon as Monday." It adds that its sources have reported that "corporate attorneys and other senior managers are burning the midnight oil this weekend, ahead of some kind of announcement."

Skype's executives had previously set up the company for a public offering of stock but recently those plans were delayed until the second half of 2011. GigaOm speculates that "an investment from one of the three could give Skype the cash cushion as it waits out for its initial public offering, and could also be a way to buy out an antsy investor."

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FireTalon said,
yeah, and effectively kill it for both linux and osx. I hope they dont get it.

Yeah, because it's not like Microsoft doesn't have a Mac Business Unit division. How silly of them. /s

FireTalon said,
yeah, and effectively kill it for both linux and osx. I hope they dont get it.


you linux fanboys need to stop ranting and just install the copy of windows you have.. i know you have them all.. its about time you realize that trying to make yourselves like different and rad is kinda lame


and i WANT MS to acquire Skype, because they will reduce the memory usage to 4k, like they did with Live Messenger 2011

Considering that Microsoft already has VOiP solutions with Lync, Windows Live Messenger and Microsoft Exchange, why would really want to take on this burden? Also, I remember Steve Ballmer saying the Company is going easy on large acquisitions and focus more on smaller ones or try to build in house. Considering that the fetching price is around 4 Billion and the previous owner Ebay didn't do so well with it, I would be reluctant to take it up. Especially since have overlapping technologies that are just as good as Skype.

Mr. Dee said,
Considering that Microsoft already has VOiP solutions with Lync, Windows Live Messenger and Microsoft Exchange, why would really want to take on this burden? Also, I remember Steve Ballmer saying the Company is going easy on large acquisitions and focus more on smaller ones or try to build in house. Considering that the fetching price is around 4 Billion and the previous owner Ebay didn't do so well with it, I would be reluctant to take it up. Especially since have overlapping technologies that are just as good as Skype.

For the BRANDING. Skype is such an enormously KNOWN name around the world. I travel a LOT and everyone who is anyone that is calling over the internet, is using Skype not MS Messenger. This would add instant credibility to MS with consumers that is largely missing. GO MS GO!!!

jimmyfal said,

For the BRANDING. Skype is such an enormously KNOWN name around the world. I travel a LOT and everyone who is anyone that is calling over the internet, is using Skype not MS Messenger. This would add instant credibility to MS with consumers that is largely missing. GO MS GO!!!

Exactly.

Considering that *all* the major news sources (wire, broadcast, cable, and Internet) use Skype as one leg of their coverage net. (From the large, such as AP, Reuters, NBC News and FOX - to the small, such as the local TV stations in Washington, DC that use Skype *instead* of microwave and cellular for local backhaul coverage - Skype is used by them all.)

The very fact that the local TV stations in Washington, DC - a city with no shortage of either cellular OR microwave coverage - use Skype speaks volumes about Skype reliability (especially considering that it's used for video as well as audio backhaul). Especially considering that it's a service they *all* use.

Let's face it - Washington, DC is easily THE most *political* city on the planet. Yet *all* the media in town use the same telephony service, specifically Skype?

Here's another theory - Microsoft, instead of acquiring Skype outright, does something nobody else has yet - licenses the Skype protocols. The only clients for Skype so far have been those from Skype itself; why no third-party Skype clients? (This is especially true in terms of FOSS clients.) I can think of several ways that a Skype deal could benefit Microsoft's existing core products (not just Windows Live, but Lync, the corporate/SMB/enterprise side of WLM, which is being used by Office365, now in public beta, which means that it leverages Exchange; imagine Exchange supporting Skype's protocols in addition to the existing Lync/ALM protocol support. It's not just the comsumers, but business clients as well, from the enterprise down.

It would be great for Microsoft to use Skype systems to enhance their Windows Live Messenger calling and add it to Windows Phone 7 (and Windows 8). They can let Skype run the land line calling and other services as it is because they are working great.

Doesn't anyone see what Microsoft is doing here? Did anyone see the MIX11 keynote by Joe Belfiore about the WP7 Mango update? He specifically mentioned how Skype is currently working on a way to integrate its services into Windows Phone. He even hinted at a possible front-facing camera when he mentioned something about Windows Phone having video communications. Microsoft is clearly gearing up to do something big with Skype, and my guess is that Windows Phone is the platform where all of this attention is going to.

Interessting, thanks for the input. Till now I never had the time to watch the keynote. Is it available via Channel 9?

SteelToast said,
Integrate skype to xbox 360 + kinect stuff rather than video kinect...

Video Kinect is so stupid to me. Not the idea but the implementation. It's like yet another brand for something Microsoft already has. They should have just updated the Live Messenger client, while fully integrating it with Xbox/Zune tags (linking contacts) and said "hey, now you can video chat with Live Messenger on the Xbox if you have a Kinect." or that other cam they had too. By Windows 8 launch, I expect them to have all these loose ends gone and truly have their products work seamlessly and intuitively together. If you plug your Windows Phone into an Xbox, nothing happens, it just charges. smh

I hope not. Not that I have anything in particular against Windows, but where Google might actually finish the Linux Skype client and take it out of Beta, Microsoft would probably cancel it, change the communication protocol so the older versions wouldn't work, and maybe even pull future updates for the Macintosh version. Just another way to corral people into choosing Windows if they want to use one of their products, even if they weren't the original authors.

CoMMo said,
I hope not. Not that I have anything in particular against Windows, but where Google might actually finish the Linux Skype client and take it out of Beta, Microsoft would probably cancel it, change the communication protocol so the older versions wouldn't work, and maybe even pull future updates for the Macintosh version. Just another way to corral people into choosing Windows if they want to use one of their products, even if they weren't the original authors.

I heard crying helps. Not sure though, never tried it before.

CoMMo said,
I hope not. Not that I have anything in particular against Windows, but where Google might actually finish the Linux Skype client and take it out of Beta, Microsoft would probably cancel it, change the communication protocol so the older versions wouldn't work, and maybe even pull future updates for the Macintosh version. Just another way to corral people into choosing Windows if they want to use one of their products, even if they weren't the original authors.

Microsoft *does* actually have a Macintosh Business Unit - perhaps you have forgotten about Office 2011 for Mac and one of the core add-ins, Microsoft Communicator?

Skype + Microsoft (WLM) + Facebook = ultimate social media domination

But i would like it. WLM's chat friendly interface, with Skype's calling features (which is a lot better thatn WLM's) + Facebook....

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