By Denny Jacob

Microsoft is retiring Skype in May, telling users to move to Microsoft Teams 14 years after acquiring the legacy video-conferencing platform.

When Microsoft bought the voice and video call company in 2011 for $8.5 billion, it ranked as the biggest acquisition in Microsoft's history and was seen as a maneuver to claim more share of the mobile-phone market, where it had lagged behind rivals Apple and Google at the time. Skype had upwards of 170 million users when the deal was announced.

Skype had a slight uptick in 2020 at the start of the pandemic, but gave way to video-conferencing rivals Zoom Communications, Salesforce's Slack and Microsoft Teams.

"Skype has been an integral part of shaping modern communications. We also understand that change can be challenging," Jeff Teper, president of collaborative apps and platforms at Microsoft, said in a blog post Friday. "We're excited about the new opportunities that Teams brings and are committed to helping you stay connected in new and meaningful ways."

Write to Denny Jacob at denny.jacob@wsj.com

(END) Dow Jones Newswires

February 28, 2025 10:28 ET (15:28 GMT)

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