Microsoft to Purchase Skype for $8.5 Billion – What Does This Mean?

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microsoft-skypeWhat does it mean when the largest software company purchases one of the largest Internet-based voice and video communications platforms? It may be a match made in heaven or maybe Microsoft needs something to boost them up and Skype is the key. Either way, Microsoft is to announce purchasing Skype for a total of $8.5 Billion.

Skype has been on sale for some time now and several companies have shown in interest in buying the web-based phone and video chat service. Some thought that Facebook would go through with a deal to purchase Skype turning Facebook into something even bigger than it is which is kind of scary. Other potential purchases were Google and Cisco but those deals became null the instant that Microsoft showed interest.

It is thought, after Microsoft acquires Skype, that they will integrate Skype into Microsoft Live. Skype currently has a debt figure of $686 million. The $8.5 billion deal would be the largest acquisition for Microsoft in almost 3 decades. That says a lot of the over-all scope and potential of what this acquisition would do for Microsoft. For starters, Microsoft would have a brand-named web service in their arsenal aside from their in-house services such as Live or Bing.

To really think outside of the BOX, Microsoft could utilize Skype to integrate into other products such as their Xbox 360 gaming system. Xbox Kinect users could utilize Skype features to make calls via Xbox Live. The Microsoft Live service could now be an attractive feature for all PC and Mac users. Then there is the Windows Phone 7 system for Smartphones. Microsoft could take their new Smartphone operating system to another level. The possibilities are virtually endless in this acquisition.

What do you think will happen after Microsoft purchases Skype? Is it good news for you? Do you already use Skype, Microsoft Live, Xbox Live, Windows Phone 7?

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