Microsoft has announced that it will retire Skype on May 5, marking the end of an era for the pioneering internet-calling service. The tech giant, which acquired Skype in 2011, stated that it will now focus entirely on its Teams platform. While the exact number of affected users is unclear, the most recent data from 2023 indicated that Skype had over 36 million users, a significant drop from its peak of 300 million.
The decision to phase out Skype has been in motion for years, with Microsoft launching Teams in 2016 as a direct competitor to collaboration platforms like Slack. By 2021, Teams had been fully integrated into Windows 11 as Microsoft’s preferred communication app, effectively sidelining Skype. The company began limiting Skype’s functionalities in December 2024, including stopping users from adding credit or purchasing phone numbers, pushing them toward Teams’ subscription model.
Skype users have until May 5 to migrate their contacts and chat history to Teams or download their data. However, Teams Free, the version available for personal use, lacks some key Skype features, such as phone-calling functionality. Microsoft has stated that users with remaining Skype credit will be able to use a Skype Dial Pad within Teams and the Skype web portal for an indefinite period.
The decline of Skype is attributed to the rise of competing messaging and video-calling platforms, such as WhatsApp and Zoom, which have amassed far larger user bases. While Skype saw a brief resurgence during the pandemic, its overall usage has remained stable in recent years, prompting Microsoft to consolidate its efforts around Teams. The company believes that the shift aligns with changing consumer habits and is confident that Skype users will transition smoothly to its more advanced communication platform.