Microsoft snap up Internet Giants Skype for $8.5Bn, which is its biggest buyout in over three decades. Microsoft killed the competition from strong rivals Google, Facebook and Apple. The transaction has been approved by the boards of directors of the two companies.Post acquisition, Skype would become a new business division within Microsoft, and Skype CEO Tony Bates would become President of Microsoft Skype Division , reporting directly to Ballmer and Skype will become a new business division within Microsoft, and Skype CEO Tony Bates will assume the title of president of the Microsoft Skype Division, reporting directly to Ballmer.
Skype would support Microsoft devices such as gaming console Xbox, Kinect as well as a wide array of Windows applications. Microsoft will connect Skype users with Lync, Outlook, Xbox Live and other communities.Last year, Skype reported a revenue of USD 860 million on which it posted an overall loss of USD 7 million, and a long-term debt of USD 686 million. With the acquisition, Skype too will be able to hold on to its top position beating the likes of Yahoo Messenger and GMail!
