Technologizer » Skype

Skype for iPad is Here (For Real This Time)

Ed Oswald — Tue, 02 Aug 2011 17:31:48 +0000

After accidentally being released a day early (and subsequently pulled), Skype’s iPad app is now available in the App Store for real. The release ends a long wait for those looking to Skype on their tablets: Skype with video on the iPhone has been available since the beginning of the year, and the iOS app itself for much longer than that.

Skype is playing up the benefits of video chatting on the big screen of the iPad, and I have to agree. While it’s nice to video chat from your phone, I’ve always thought video conferencing does better on bigger screened devices.

The iPad presents some new opportunities for Skype to extend the mobile app experience. Users will be able to instant message during video calls, and the contact and conversation logs have been optimized to be more easily accessible.

The app will work on the first-generation, cameraless iPad, Skype says, but obviously wouldn’t be able to send video.

The video above will give you a quick rundown of the major features. As you can see, it’s a pretty solid app, and welcome news for tablet-enabled frequent Skypers.

How about an Android app? We haven’t heard anything yet.

Facebook Event: Join Me!

Harry McCracken — Wed, 06 Jul 2011 06:14:42 +0000

Just a reminder: I’ll be at Facebook HQ on Wednesday morning at 10am PT and will liveblog its event at technologizer.com/facebookevent. According to TechCrunch’s Michael Arrington, the news–part of it, at least–involves Skype video chat integrated into Facebook.

TechCrunch: Facbook’s Announcement Next Week is Skype Video Chat

Harry McCracken — Fri, 01 Jul 2011 20:08:38 +0000

Maybe Facebook’s event next week doesn’t relate to the iPad at all. TechCrunch’s Michael Arrington says that the news is something entirely unrelated, but potentially cool: Skype-powered video chat within Facebook.

Skype Video Chat Now Works on Android Phones (But Probably Not Yours)

Jared Newman — Thu, 30 Jun 2011 22:39:16 +0000

At last, Skype’s Android app supports video calling, but it’s only available on four phones for now.

Video calling works over Wi-Fi and 3G, and is supported on the HTC Desire S, Sony Ericsson Xperia Neo, Sony Ericsson Xperia Pro and Google Nexus S. The common thread among these phones is that they all run Android 2.3, but a Skype representative told me that the company’s working to make video chat available on a wider range of devices shortly after launch.

In theory, Skype video chat for Android is a big deal. While other video calling services such as Qik and Fring can connect Android users with other smartphones, Skype is unique in that it also offers desktop software, allowing phone users and PC users to video chat together.

The only other service with this feature is Google’s own video chat, but it’s only available on Android versions 2.3 and higher. An Android app called Vtok (also available for iPhone) promises to bring Google video calling to earlier versions of Android, but it’s also not supported on all devices.

So right now, the video chat situation on Android devices is kind of messy, with older versions of the Android software left behind by Google and many phones and tablets unsupported by Skype. We’ve seen this kind of fragmentation in other apps recently: Netflix and Hulu Plus both launched on a limited number of handsets.

On the bright side, eventually most Android phones will run version 2.3-or-higher, Skype will support more handsets, and these video chat fragmentation issues should work themselves out. For now, however, calling a PC-bound friend with video can still be a big headache.

(This post republished from Techland.)

Comcast Plans to Offer Skype on TVs

Jared Newman — Tue, 14 Jun 2011 00:26:51 +0000

I don’t know whether Comcast is afraid of Internet-connected TVs and set-top boxes, but that’s the way the cable company’s plans for Skype support look from here.

Comcast will bring Skype to customers on a trial basis in the coming months, All Things Digital’s Peter Kafka reports. The service will require an adaptor box, a high-quality video camera and special remote control that allows text input. It’s not clear how much the service will cost, if anything, and whether it’ll be available to cable customers, Internet subscribers or both. As Kafka notes, it’s certainly possible that Comcast could give the service away to platinum cable subscribers as a “please don’t cut the cord” incentive.

Whatever the service looks like when it goes live, it won’t be the first example of Skype on televisions. Skype is already available on several connected TVs from Panasonic and Samsung, and is coming to TVs from Vizio and Sony. Blu-ray players from Sony and Panasonic may also support Skype in the future, and Microsoft plans to build the service into the Xbox 360 once the company’s acquisition of Skype goes through. So although Skype doesn’t have the ubiquity of, say, Netflix, Comcast is playing a bit of catch-up.

Anyway, the fact that Comcast will dabble in web-based services is kind of a big deal. The company obviously sees potential in big-screen video chat, and wants to get on board before customers stray to connected TVs and set-top boxes, which are steadily becoming more viable options for cord-cutters. If subscribers can get everything they need from the cable company, they’ll have less of a reason to experiment with alternatives.

Or maybe I’m reading too much into this. We’ll know for sure if Comcast starts integrating Facebook and Twitter into its cable boxes. Oh wait.

Microsoft’s Skype Buy Creates Conflict for Rdio [Update]

Jared Newman — Tue, 10 May 2011 23:24:29 +0000

All Things D’s Peter Kafka picked up on an interesting wrinkle in Microsoft’s Skype acquisition: Subscription-based music service Rdio may be in trouble.

Skype has a $6 million investment in Rdio, thanks to some lawsuit madness involving Skype’s founders and several Silicon Valley players. Kafka said he’s “pretty sure” Skype and Rdio were planning to deepen ties and drum up more users for the music service.

But Microsoft has its own music service, Zune Pass, and it seems unlikely that the company will want to manage a competitor. For now, neither Microsoft nor Rdio are commenting. (UPDATE: See the end of the post for Rdio’s statement.)

Although Zune Pass and Rdio both offer unlimited streaming music to subscribers, their approaches are quite different. Zune Pass focuses on Microsoft’s own hardware — Xbox 360, Zune media players and Windows Phone 7 — and it has one pricing model, charging $15 per month for unlimited streaming and 10 permanent downloads. Rdio charges $5 per month or $10 for mobile access, and doesn’t let users keep any songs, but it supports more devices, including iPhone, Android, Blackberry, Windows Phones, Roku and Sonos.

So the best case scenario, however unlikely, would be a complete merging of Rdio and Zune Pass, giving users the full range of pricing options and supported devices. The services could even combine their respective social networks to allow more interaction between users.

The worst case scenario would be the closure of Rdio. It wouldn’t be a total tragedy — the subscription music business has enough competition from MOG, Rhapsody, Grooveshark and maybe Spotify to soak up displaced users — but it would be an inconvenience for Rdio users who’ve built up huge libraries and networks of like-minded listeners.

Whatever the case, I hope Rdio (or Microsoft or Skype) clarify the matter before long.

UPDATE: Here’s a statement from Rdio:

“While Skype is an investor in Rdio, it is important to note that it is one of many and that Skype’s acquisition has no impact on Rdio, operationally or financially. We remain focused on our goal of continuing to deliver what we believe to be the best online and mobile music experience on the market.”

Microskype: The Optimistic View

Harry McCracken — Tue, 10 May 2011 18:36:18 +0000

GigaOm’s Om Malik thinks that Microsoft’s acquisition of Skype could turn out to be smart–and does a good job of laying out why.

Microsoft, Skype, Google, Google, Google

Harry McCracken — Tue, 10 May 2011 15:10:13 +0000

I’m at the press conference where Microsoft is talking about its now-official deal to buy Skype–and will tweet some highlights. Then at 9am I’ll liveblog Google’s IO conference keynote. Whew!

Okay, Microsoft, Now What?

Harry McCracken — Tue, 10 May 2011 05:56:47 +0000

It’s not yet public, but Kara Swisher says it’s confirmed: Microsoft is buying Skype, apparently for $8.5 billion, and apparently with the intention of linking the famous, popular, and unprofitable Internet telephone service with its Windows Live offerings. Kara reports that the deal–which would be Microsoft’s largest ever–will be announced tomorrow morning, conveniently grabbing headlines during the first morning of Google’s IO conference.

Maybe you think the acquisition is a no-brainer, but I suspect that the general initial consensus among non-Redmondians is that it’s an awful lot of money to spend on a company that’s likely to give Microsoft heartburn as it tries to digest it. It’ll be intriguing to see if the formal announcement includes a coherent explanation of why this makes sense: you’d think that part would be easy if Microsoft itself has figured out why this is a good idea.

For now, I’m thinking about the last time a big company bought Skype (albeit for a lot less money) based on the promise of powerful synergies and new opportunities. Let’s read a 2005 press release, shall we?

eBay to Acquire Skype

London, September 12, 2005 – eBay Inc. (Nasdaq: EBAY; www.ebay.com) has agreed to acquire Luxembourg-based Skype Technologies SA, the global Internet communications company, for approximately $2.6 billion in up-front cash and eBay stock, plus potential performance-based consideration. The acquisition will strengthen eBay’s global marketplace and payments platform, while opening several new lines of business and creating significant new monetization opportunities for the company. The deal also represents a major opportunity for Skype to advance its leadership in Internet voice communications and offer people worldwide new ways to communicate in a global online era. Skype, eBay and PayPal will create an unparalleled ecommerce and communications engine for buyers and sellers around the world.

“Communications is at the heart of ecommerce and community,” said Meg Whitman, President and Chief Executive Officer of eBay. “By combining the two leading ecommerce franchises, eBay and PayPal, with the leader in Internet voice communications, we will create an extraordinarily powerful environment for business on the Net.”

Founded in 2002 by Niklas Zennström and Janus Friis, Skype offers high-quality voice communications to anyone with an Internet connection anywhere in the world. The Skype software is easy to download and install, and enables free calls between Skype users online. Skype’s premium services provide low-cost connectivity to traditional fixed and mobile telephones. Skype’s software also offers a robust set of features, including voicemail, instant messaging, call forwarding and conference calling. Upcoming product innovations include Skype video, expressive content such as avatars, and customized toolbars for Outlook and Internet Explorer.

One of the fastest growing companies on the Internet, Skype already has 54 million members in 225 countries and territories. Skype is currently adding approximately 150,000 users a day and has created a thriving ecosystem of products, services, developers, and affiliates. Skype is considered the market leader in virtually all countries in which it does business. In North America alone, Skype has more users and serves more voice minutes than any other Internet voice communications provider.

“Our vision for Skype has always been to build the world’s largest communications business and revolutionize the ease with which people can communicate through the Internet,” said Niklas Zennström, Skype CEO and co-founder. “We can’t think of any better platform to fulfill this vision to become the voice of the Internet than with eBay and PayPal.”

“We’re great admirers of how eBay and PayPal have simplified global ecommerce and payments,” said Janus Friis, Skype co-founder and senior vice president, strategy. “Together we feel we can really change the way that people communicate, shop and do business online.”

Zennström and Friis will remain in their current positions. Zennström will report to eBay CEO Whitman and join eBay’s senior executive team.

A Powerful Ecommerce and Communications Engine

Online shopping depends on a number of factors to function well. Communications, like payments and shipping, is a critical part of this process. Skype will streamline and improve communications between buyers and sellers as it is integrated into the eBay marketplace. Buyers will gain an easy way to talk to sellers quickly and get the information they need to buy, and sellers can more easily build relationships with customers and close sales. As a result, Skype can increase the velocity of trade on eBay, especially in categories that require more involved communications such as used cars, business and industrial equipment, and high-end collectibles.

The acquisition also enables eBay and Skype to pursue entirely new lines of business. For example, in addition to eBay’s current transaction-based fees, ecommerce communications could be monetized on a pay-per-call basis through Skype. Pay-per-call communications opens up new categories of ecommerce, especially for those sectors that depend on a lead-generation model such as personal and business services, travel, new cars, and real estate. eBay’s other shopping websites — Shopping.com, Rent.com, Marktplaats.nl and Kijiji – can also benefit from the integration of Skype.

PayPal and Skype also make a powerful combination. For example, a PayPal wallet associated with each Skype account could make it much easier for users to pay for Skype fee-based services, adding to the number of PayPal accounts and increasing payment volume.

In addition, Skype can help expand the eBay and PayPal global footprint by providing buyers and sellers in emerging ecommerce markets, such as China, India, and Russia, with a more personal way to communicate online. And consumers in markets where eBay currently has a limited presence, such as Japan and Scandinavia, can learn about eBay and PayPal through Skype. Skype can also help streamline cross-border trading and communications.

With its rapidly expanding network of users, the Skype business complements the eBay and PayPal platforms. Each business is self-reinforcing, organically bringing greater returns with each new user or transaction. The three services can also reinforce and accelerate the growth of one another, thereby increasing the value of the combined businesses. Working together, they can create an unparalleled engine for ecommerce and communications around the world.

Transaction and Financial Information

eBay will acquire all of the outstanding shares of privately-held Skype for a total up-front consideration of approximately €2.1 billion, or approximately $2.6 billion, which is comprised of $1.3 billion in cash and the value of 32.4 million shares of eBay stock, which are subject to certain restrictions on resale.

The maximum amount potentially payable under the performance-based earn-out is approximately €1.2 billion, or approximately $1.5 billion, and would be payable in cash or eBay stock, at eBay’s discretion, with an expected payment date in 2008 or 2009. Skype shareholders were offered the choice between several consideration options for their shares. Shareholders representing approximately 40% of the Skype shares chose to receive a single payment in cash and eBay stock at the close of the transaction. Shareholders representing the remaining 60% of the Skype shares chose to receive a reduced up-front payment in cash and eBay stock at the close plus potential future earn-out payments which are based on performance-based goals for active users, gross profit and revenue.

The above-mentioned dollar and eBay share amounts are approximate, based on the Euro-Dollar exchange rate and eBay’s stock price as of September 9, 2005. The final value of the stock component of the consideration may vary significantly from this estimate based on the value of eBay stock at closing.

Skype generated approximately $7 million in revenues in 2004, and the company anticipates that it will generate an estimated $60 million in revenues in 2005 and more than $200 million in 2006. For Q4-05, eBay expects the acquisition to be dilutive to pro forma and GAAP earnings per share by $0.01 and $0.04 respectively. For the full year 2006, eBay expects the transaction to be dilutive to pro forma and GAAP earnings per share by $0.04 and $0.12 respectively, with breakeven on a pro forma basis expected in the fourth quarter of 2006. On a long-term basis, eBay expects Skype operating margins could be in the range of 20% to 25%.

The acquisition is subject to various closing conditions and is expected to close in the fourth quarter of 2005.

Skype Gets Ads

Harry McCracken — Mon, 07 Mar 2011 17:00:46 +0000

Skype is adding (relatively unobtrusive) banner advertising–a move it’s kind of surprising it didn’t make years ago with its free version.