February 28, 2025 — It’s official: Microsoft is sunsetting Skype, the iconic communication tool that shaped online connections for over a decade.
The tech giant revealed that Skype will shut down on May 5 and urged its users to switch to the free version of Microsoft Teams for chats, video calls, and group interactions.
Skype, purchased for $8.5 billion in 2011, is closing, signaling a pivot as Microsoft consolidates its communication offerings amid changing digital habits.
Over the next two months, Skype users can expect a smooth handover. Microsoft plans to transfer contacts, group chats, and past conversations directly into Teams.
For those uninterested in Teams, a handy export tool will let users save their Skype data instead. “We’re keeping it simple—move to Teams with your history intact or take your data elsewhere,” said Jeff Teper, head of Microsoft 365 collaborative apps and platforms.
One big caveat: Skype’s popular phone-calling features won’t survive the transition. No more dialing landlines or international numbers through Teams, a decision tied to the rise of affordable mobile data, according to Amit Fulay, Microsoft’s product VP.
Current Skype credits remain valid, but new purchases are unavailable, and subscriptions will end when they expire. Users with Skype Numbers must find another service to keep them active.
3 Things to Know About Skype’s Endgame
- Final Countdown: Skype bows out on May 5, with a transition window starting today.
- Data Options: Your chats and contacts auto-shift to Teams, or you can download them separately.
- No More Calls: Phone features vanish, reflecting a drop in demand for VoIP extras.
Skype’s decline isn’t sudden. It held steady with loyal users but couldn’t keep pace with competitors like Zoom, FaceTime, and WhatsApp—especially when video conferencing boomed during the pandemic.
Microsoft has been grooming Teams as its all-in-one solution since its personal version debuted in 2020. “Teams is ready to take the baton now that it’s scaled up,” Teper noted, pointing to earlier cuts like Skype credits vanishing in late 2023 as a prelude to this shift.
The company insists no jobs are at risk, with Skype and Teams staff already unified under one banner to polish Teams for everyday users. As Skype exits, the days of standalone VoIP tools are numbered, overtaken by versatile apps and mobile-first platforms.
What’s Ahead for Staying Connected?
With Teams stepping into the spotlight, Skype users face a choice: embrace Microsoft’s ecosystem or explore other options. This move highlights a more significant evolution—communication is now about integration, not isolation. Watch for guides on saving your Skype history or transferring your number as May 5 approaches.
