Microsoft has announced that Skype will be retired in May 2025, with the company focusing its efforts on Microsoft Teams.
The announcement, made by Jeff Teper, President of Collaborative Apps and Platforms, on the official Microsoft blog, outlines the transition plan for Skype users.
“In order to streamline our free consumer communications offerings so we can more easily adapt to customer needs, we will be retiring Skype in May 2025 to focus on Microsoft Teams (free), our modern communications and collaboration hub,” Teper stated.
The transition comes as Microsoft sees significant growth in Teams usage.
“In the past two years, the number of minutes spent in meetings by consumer users of Teams has grown 4X, reflecting the value Teams brings to everyday communication and collaboration,” according to the blog post.
Skype users will have two primary options during the transition:
Migrate to Microsoft Teams for Free: Microsoft is rolling out the ability for Skype users to sign into Teams using their Skype credentials.
“Over the coming days, we will roll out the ability for Skype users to sign into Teams (free) on any supported device using their Skype credentials—starting today with those who are part of both the Teams and Skype Insider programs,” Mr Teper explained.
By logging in with a Skype account, chats and contacts will automatically appear in Teams.
During the transition, Teams users can call and chat with Skype users, and vice versa, ensuring seamless communication.
Export Skype Data: Users who prefer not to migrate to Teams can export their data, including chats, contacts, and call history.
Skype will remain available until May 5, 2025, providing users ample time to transition.
Users are encouraged to download Teams from the official Microsoft Teams website and log in with their Skype credentials to begin the migration.
Regarding paid Skype features, Microsoft will no longer offer them to new customers.
“Moving forward, we will no longer offer paid Skype features to new customers, including Skype Credit and subscriptions that allow you to make and receive international and domestic calls,” the blog post stated.
Current Skype subscription users can continue using their credits and subscriptions until their next renewal period.
Skype Credit users can also continue using their remaining credit.
After May 5, 2025, the Skype Dial Pad will be available to remaining paid users from the Skype web portal and within Teams.
“Skype has been an integral part of shaping modern communications and supporting countless meaningful moments, and we are honored to have been part of the journey,” Mr Teper acknowledged.
Microsoft has also committed to assisting users throughout the transition, providing a step-by-step guide to help get started with Teams and make the most of its features.
Founding and Early Development
Skype’s journey began in 2003, founded by Niklas Zennström of Sweden and Janus Friis of Denmark.
The software itself was brought to life by a talented team of Estonian developers: Ahti Heinla, Priit Kasesalu, and Jaan Tallinn.
Notably, Skype utilized peer-to-peer (P2P) technology, a method similar to that employed by the file-sharing service Kazaa, which Zennström and Friis had previously worked on.
The core mission of Skype was to revolutionize communication by offering affordable, and often free, voice calls over the internet.
This vision was realized with the release of the first public beta version in August 2003.
The fledgling service rapidly gained traction, quickly establishing itself as a leading player in the burgeoning Voice over Internet Protocol (VoIP) sector.
This early success caught the attention of eBay, which acquired Skype in 2005.
However, eBay later divested a majority stake in 2009 to a group of investors.
Then, in a significant move in 2011, Microsoft acquired Skype for a substantial $8.5 billion, signaling a new chapter for the communication platform.
Under Microsoft’s ownership, Skype underwent significant integration into the wider Microsoft ecosystem.
The company dedicated resources to enhancing Skype’s features, notably improving video calling and instant messaging capabilities.
Furthermore, the tech giant undertook the task of merging its business communications platform, Lync, into Skype for Business, aiming to consolidate its communication offerings.
Its competitors include Zoom, which experienced rapid growth, particularly during the COVID-19 pandemic, as remote work and online communication became essential and also Google Meet.
Currently, Microsoft is transitioning its user base from Skype to Microsoft Teams, marking another evolution in its communication strategy.
Skype’s legacy is defined by its groundbreaking innovations. It democratized VoIP technology, making it accessible to a vast global audience.
Its P2P architecture was instrumental in ensuring efficient scaling and high-quality call performance.
Ultimately, Skype played a pivotal role in shaping the evolution of online communication, leaving an indelible mark on how people connect across the world.
