Microsoft Corporation has announced the upcoming shutdown of its once-popular video calling service, Skype, effective May 5, 2025. This decision marks the end of an era for the app, which revolutionized communication when it debuted two decades ago. Launched back in 2003, Skype quickly became synonymous with internet calling, allowing users worldwide to make free voice and video calls, fundamentally altering interpersonal and business communications.
According to Microsoft, the closure of Skype stems from the company's decision to focus its resources on Microsoft Teams, its modern collaboration platform aimed at enhancing communication efficiency. “Starting in May 2025, Skype will no longer be available. Over the coming days you can sign in to Microsoft Teams Free with your Skype account to stay connected with all your chats and contacts,” says Skype via its post on X, formerly known as Twitter.
This transition follows years of decline for Skype, which had seen its user base diminish significantly—from 36 million users reported as recently as 2023 down to just 23 million by 2020. These figures demonstrate Skype's struggle to compete with agile alternatives like Zoom and Slack, which offer fresh, mobile-friendly features. Microsoft emphasizes on its blog post the necessity of providing “a unified platform” for users, with the emphasis now on Teams as the central hub for communication and collaboration.
Microsoft Teams offers many of the same core features users enjoyed with Skype, such as one-on-one calls, group calls, messaging, and file sharing. Perhaps more appealing is Teams' expanded functionalities, which include hosting meetings, calendar management, and building online communities—all at no cost to users. Jeff Teper, President of Collaborative Apps and Platforms at Microsoft, remarked, “With Teams, users have access to many of the same core features they use in Skype, such as one-on-one calls and group calls, messaging, and file sharing. Teams offers enhanced features like hosting meetings, managing calendars, and building and joining communities for free.”
Importantly, Microsoft is providing dual pathways for Skype users during this transition period. They will have the choice to migrate seamlessly to the Teams platform using their existing Skype credentials, wherein chats and contacts will automatically transfer, allowing for minimal disruption. For those hesitant to switch or preferring not to migrate, Microsoft will facilitate data export options, enabling users to save their chats, call history, and contacts before the service is fully discontinued.
Microsoft is also discontinuing paid Skype services for new users, which includes Skype Credit and subscriptions for international and domestic calls. Existing subscribers will be allowed to continue utilizing their accounts until the end of their next renewal period, and remaining Skype credit will remain accessible until exhausted. Remaining Skype Dial Pad functionality will be accessible through the Skype web portal and within Teams after the transition.
While the transition is expected to move smoothly, Microsoft is also promising to maintain connectivity across platforms. Teams users will able to communicate with Skype users, ensuring functionality continues until the shutdown date. This strategic shift not only reflects the changing dynamics of user preferences but also signifies Microsoft's commitment to meet customer needs more effectively by creating comprehensive collaboration tools.
Long viewed as the innovator of video conferencing technology, Skype was acquired by Microsoft for $8.5 billion back in 2011, marking the beginning of its integration within Microsoft’s broader ecosystem, including Windows and Xbox devices. Despite its early trailing edge, Skype struggled to keep pace with rising competitors over the past decade. Its failure to adapt to the smartphone-centric market and user expectations has led to its decline.
“To streamline our free consumer communications offerings so we can more easily adapt to customer needs, we will be retiring Skype to focus on Microsoft Teams (free), our modern communications and collaboration hub,” Teper reiterated, underscoring the practical and strategic reasoning behind this move.
For loyal Skype users, this impending transition marks bittersweet closure to the once-dominant service. Many have fond memories tied to the distinct Skype ringtone and its role in connecting families, friends, and businesses globally.
With the final shutdown approaching, it may be time for those remaining users to start preparing for one last call on Skype—before the app bids its final farewell.