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, transitioning its users to a free version of Microsoft Teams. This move comes as communication platforms like WhatsApp, Zoom, FaceTime, and Messenger dominate VoIP communication, rendering traditional cellphone calls via Skype less relevant.

Current Skype users can seamlessly transfer their data—including message history and contacts—to Microsoft Teams without creating a new account. However, Microsoft will discontinue support for domestic and international calls. A data export tool is available for users who prefer not to migrate to Teams, allowing them to download their chat history and photos.

Users have a 60-day window, beginning May 5th, to make the transition. Microsoft will honor existing Skype credits but will cease offering paid Skype features for making international and domestic calls to new customers.

The primary loss with Skype's closure is the ability to make calls directly to cellphones. Microsoft explains that while this functionality was crucial during Skype's peak, its importance has diminished due to widespread VoIP availability and affordable mobile data plans. Amit Fulay, Microsoft's vice president of product, stated that this is no longer a focus for the company.

Microsoft acquired Skype in 2011 for $8.5 billion, aiming to enhance its real-time communication offerings. While Skype once held a prominent position on Windows devices and was even marketed as an Xbox feature, Microsoft acknowledges that its user base has stagnated in recent years. The company is now concentrating its consumer efforts on Microsoft Teams.