Microsoft Buying Skype
That’s right, the Redmond giant is buying the voice over IP network Skype. I is reported to have paid £5.2 billion making it the largest acquisition for Microsoft.
The previous owners were ebay who bought it in 2006 for $2.6 bn before selling 70% of it to a private equity firm for $2bn.
The move is considered to be stratigic for Microsoft who have considerable resources in the tablet and mobile phone market. While it is definitely a great acquisition for Microsoft, analysts question whether they have paid too much for it, considering it has yet to turn a profit. Most people know the company for its ability to connect call by voice and video over the internet. Anyone with a computer can speak across the world for free to another person with a computer. Charges are made for calls to conventional phones.