What Microsoft May Do with Skype

By Ryan Krause –

They spent 8.5 billion dollars on it, but now what?

On May 10, 2011 Microsoft bought Skype for 8.5 billion dollars in cash. According to MaximumPC, both Google and Facebook were also interested in this service.

But Microsoft won and it may be a great move by them.

Microsoft could license parts of Skype to Facebook and earn money that way. Plus buying Skype before Google keeps them from owning every big thing on the web.

Microsoft’s CEO Steve Ballmer gave a speech on the acquisition of Skype when they released the information.

Miscosoft and Skype together. Image owned by CBSNews.com.

According to CNN the following five possibilities of Skype were discussed in his speech:

1. Integration with Xbox Live.

According to CNN, about 10 million users have a camera connected to their Xbox 360. Having Skype added to Xbox Live would open the possibility of video and voice chat support.

2. Application to Windows Phones.

Having a solid application with the Windows based phones would boost their popularity. Let’s be honest, the iOS and Droid based phones overshadow the Windows devices.

3. Addition to Facebook.

It would be great for both Facebook and it’s users to have video chat integrated into the regular Facebook chat. With Microsoft owning rights to Skype, they could easily license it to Facebook and earn a lot of money from it.

4. Beef up Hotmail.

Hotmail may have tons of users world wide, but how many are actually excited about it? Skype’s technology would allow more attractive additions to Hotmail and could potentially boost its popularity.

5. Be at a meeting without actually being there.

Cisco is known as the largest corporation for telecommunication according to CNN. And with Microsoft owning rights to Skype, Microsoft’s big name could boost the popularity of itself. Maybe even over Cisco. It’s rumored that there will be integration with Microsoft Office with this newly acquired technology.

Can Microsoft successfully pull all this off without losing money?

Is there a chance that additional fees will be introduced?