Skype is going away: farewell to an internet communication legend

The future of Skype is finally set – after 22 years of existence, the platform is preparing to close. Rumors about this have been circulating for more than one year, reinforced by the gradual fading of the service and the active promotion of Microsoft Teams – its ideological successor. Now everything has become official: Microsoft announced that Skype will be retired in May 2025.

Instead, users are being offered the option to switch to Microsoft Teams. You can sign in to Teams Free with your existing Skype account and, as the company claims, "pick up where you left off." Chats and contacts should carry over automatically. This makes sense, as Teams is positioned as a corporate tool that encompasses not only video calls, but also document collaboration, task scheduling, and more.

However, this option is not suitable for everyone. For those who do not want to use Teams, there is another option - to export or delete Skype data. Microsoft's support section has detailed instructions that will help you correctly carry out this process: save important information or completely erase your digital footprint on Skype.

The closure of the platform, which has long been the main tool for voice and video calls, means the end of an entire era in the world of online communications. Skype radically changed the format of communication, removing barriers to distance communication. In view of this, the editorial staff of Mezha decided to recall the history of Skype, its ups and downs, as well as its impact on the industry.

A revolutionary idea: how Skype changed the rules of the game

Internet calls have long been commonplace. We use FaceTime, WhatsApp, Slack, Discord, Zoom – and this is far from a complete list of available tools. But the pioneer who opened the way for all these platforms was Skype.

It was created by two entrepreneurs: the Swede Niklas Zennström and the Dane Janus Fris. They already had a successful track record of creating innovative technologies - they had previously founded the file-sharing network Kazaa, which was based on P2P technology. To develop the new tool, they recruited a team of Estonian programmers: Ahti Heinla, Priit Kasesalu and Jaan Tallinn.

Interestingly, the project was originally called "Skyper" - it stood for Sky peer-to-peer or "heavenly peer-to-peer" . However, the domain name skyper.com turned out to be taken, so the name was shortened in favor of the more concise Skype.

The official launch of the platform took place on August 29, 2003, and it was a real breakthrough. Internet communication at that time was limited mainly to text messages in instant messengers like ICQ or MSN Messenger. The services were popular, but they did not have the ability to communicate live by voice.

Skype changed that: its creators offered a revolutionary solution at the time – a VoIP (Voice over Internet Protocol) service, which was based on peer-to-peer (P2P) technology. That is, data was transmitted directly between users, bypassing central servers. This ensured high quality of communication and relatively low costs.

Skype allowed users to make free voice and video calls via computers connected to the Internet. They also had access to the SkypeOut feature for making calls from their computers to landlines and mobile phones, although this was paid.

By the way, the service's logo was originally a cloud. It was a symbol of communication "in the cloud" - something that seems familiar today was an innovation at the time. It is also interesting that the famous Skype call sound, which has become one of the most recognizable sounds in the world of technology, was created by a professional sound engineer.

Overall, the idea of Skype was so "explosive" that it was downloaded by a million users in the first month of operation. It was a grand success, indicating the enormous potential of the new platform.

From eBay to Microsoft: Changing Owners and Strategies

Skype's rapid growth in popularity attracted the attention of major market players. In 2005, the first major deal took place - Skype was acquired by eBay for $2.6 billion. The giant planned to integrate the service into its ecosystem to simplify communication between buyers and sellers. However, the integration was not so successful. eBay later wrote off $1.4 billion in Skype's value, admitting that the acquisition had not met expectations.

In 2009, a controlling stake in Skype was acquired by an investor group led by private equity firm Silver Lake. The deal valued the platform at $2.75 billion, slightly higher than the eBay purchase but lower than expectations. Under Silver Lake, the service underwent a restructuring: cost reduction and a focus on key areas of development helped stabilize the business.

Finally, in 2011, Skype became part of Microsoft. The corporation acquired it for a record $8.5 billion, which at that time was the largest acquisition in Microsoft's history. This was part of the giant's strategy to strengthen its position in the communications technology market and compete with Google and other companies. Microsoft integrated Skype into its products, including Office 365 and Xbox, in an attempt to make it an integral part of its ecosystem.

From success to challenges: how Skype conquered the world and lost trust

Skype's history is not only about great achievements, but also about serious challenges. Like any business, the platform has experienced periods of growth and times when it had to overcome difficulties.

When the service was widely popular, it became a universal communication tool that was used for literally everything. From personal conversations to business meetings and distance learning, Skype found application in a wide variety of areas.

One such example is the story of James and Nia, whose relationship developed over six years of distance. It was not just communication - thanks to the service, they went shopping "together", cooked meals, watched movies. Skype also came in handy during their wedding - for guests who could not attend the ceremony, a broadcast was organized online.

A rather unexpected example is the use of Skype by dialysis patients in Wales. They contacted the nephrology department during procedures, saving time on travel and receiving support from medical staff.

In addition, Skype became a reliable assistant when students communicated with American astronaut Anne McClain. The peculiarity is that it was literally a "space call" - Anne was on the International Space Station during the conversation.

All this was made possible thanks to the platform's wide range of features: voice and video calls, instant messaging, group chats, the ability to share files of various formats, and even screen sharing.

As a result, the number of Skype users grew at an impressive rate. While in 2004 the service recorded 1 million simultaneous active users, in 2007 this figure increased to 10 million, and in 2013 it reached the mark of 70 million . These were impressive figures that testified to the prevalence of Skype.

However, with the notoriety came concerns about security and data privacy. Several high-profile incidents have undermined trust in the platform and forced users to consider alternatives.

One such case was a vulnerability discovered in 2012 that allowed attackers to change a user's password and gain access to their account with just their email address. The issue was eventually fixed by changing the password reset process, but it drew attention to the service's vulnerabilities.

Edward Snowden's revelations in 2013 were highly publicized. The former CIA and National Security Agency employee published information about the PRISM program, under which American intelligence agencies monitored users on the Internet. According to the published materials, Skype's owner, Microsoft, was transferring user data to government agencies. This caused a wave of indignation and accusations of privacy violations.

Competition and market evolution: why Skype lost leadership

Despite a strong start and a long period of dominance, Skype began to lose ground over time. This was due to a number of factors, the main of which was the emergence of strong competitors offering better and more flexible solutions. The main ones include:

• FaceTime (Apple): Launched in 2010, FaceTime has become a favorite choice for Apple users due to its simplicity, intuitive interface, and end-to-end encryption. FaceTime also supports group calls of up to 32 participants, making it a popular tool for communicating with friends and family.

• WhatsApp (Facebook/Meta): Although WhatsApp started out as a messenger, it later added voice and video calling features. Thanks to its large user base and ease of use, these features quickly gained popularity, turning WhatsApp into a serious competitor to Skype.

• Slack: Launched in 2013, this enterprise messenger offered effective tools for organizing work chats, channels, and discussions. The calling feature, which appeared in 2016, made Slack a significant player in the business environment.

• Zoom: This platform became a phenomenon during the COVID-19 pandemic, when the world was forced to switch to remote work and learning . Zoom provided high-quality communication, convenient features for hosting webinars and conferences, as well as the ability to record and transcribe meetings.

• Google Meet: A service from Google, tightly integrated with other company products (Gmail, Google Calendar), has also become a common choice for video conferencing, especially in the educational environment and among supporters of the Google ecosystem.

• Discord: Initially focused on gamers, the platform later found wider application thanks to its capabilities for creating communities and organizing voice communication.

However, competition is not the only reason why Skype lost its position. Internal problems also influenced this. For example, the service interface remained unchanged for a long time and gradually became morally obsolete. In the end, it lost to more modern and intuitive solutions from competitors.

Additionally, Skype was experiencing connectivity issues. Users often complained about interruptions, especially during group calls. This created additional inconvenience and degraded the quality of interaction with the service.

Another problem was the lack of attention to mobile platforms. Skype was unable to adapt quickly enough to the growing popularity of mobile devices. As a result, competitors like WhatsApp won back a significant share of the audience.

And finally, a serious impact was had by Microsoft's change in priorities after the launch of Teams in 2017. It became obvious that the corporation was betting on this product, while the development of Skype was taking a back seat.

Skype's legacy: a significant contribution to digital history

Although Skype is no longer relevant to the modern market, its impact on online communication remains huge and undeniable. It was the first service to make Internet calls accessible to millions of people.

Skype has not only changed the way we communicate, work, and learn, but it has also bridged distances, making online interaction easier and more efficient.

It laid the foundation for the development of digital communications and became the forerunner of many other services we use today. It is a story of innovation, success, challenges and, ultimately, the evolution of technology.

The closure of Skype is more than just the end of a service. It is a symbol of the end of an era when internet communication was something new and unusual. Skype has left its mark on history and will be remembered as a pioneer who ushered in a new era in the history of internet communication.