ePayroll Blog


Microsoft pays $8.5Billion for Skype

13 / 5 / 2011


Although the price tag of $8.5bn will not stretch the US giant, some experts have questioned whether it is paying too much for a company that has struggled to turn a profit.

So what's in it for Microsoft?

- Skype has over 600 million users which make it the world's largest phone company for international voice calls.

- Skype is a mobile service which can be paired up with the Windows 7 phone.
- Skype can also be integrated with Xbox Kinect and a HD television set, therefore allowing Microsoft to get into millions of living rooms.

The other arguments for purchasing the company are; to buy up key talent, and for the audience. It’s unusual, but not unheard of for Microsoft to buy for the audience, given it already has the largest desktop computer user base in the world. It did purchase Hotmail in 1997 for its 8.5 million users.

To find out more about Microsoft's purchase of Skype, please read the following




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