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Microsoft Retires Skype for Free Teams in May

by Henry Sep 16,2025

Microsoft to Sunset Skype, Transition Users to Teams in May

Microsoft has officially announced that Skype will be discontinued in May, with its free consumer version being replaced by Microsoft Teams. This transition comes as modern communication apps like WhatsApp, Zoom, and FaceTime have made traditional VoIP calling through services like Skype increasingly obsolete.

The End of an Era for Digital Communication

According to reports from The Verge, existing Skype users won't need to create new accounts - they'll simply log into Teams to access their entire message history, contacts, and other data. However, one major feature won't make the jump: the ability to place calls to traditional phone numbers will be discontinued permanently.

Microsoft is providing migration tools for users who want to preserve their Skype data before the May 5 shutdown. Those reluctant to switch to Teams can still export their conversation histories and media files through these utilities.

Why Microsoft is Closing the Skype Chapter

Microsoft VP of Product Amit Fulay explained the rationale behind discontinuing Skype's phone calling features: "When we examine usage patterns, we see this functionality made sense when VoIP wasn't widespread and mobile data was costly. Looking ahead, this capability no longer aligns with our vision."

The tech giant originally acquired Skype in 2011 for $8.5 billion, aiming to strengthen its position in real-time communication. While Skype once held pride of place across Windows devices and even Xbox consoles, Microsoft acknowledges that user growth has stagnated in recent years, leading to the pivot towards Teams as their unified communication platform.

Current Skype subscribers have 60 days to make their transition decisions. While Microsoft will honor existing credits, no new subscribers will be able to access Skype's paid calling features. This marks a significant shift in Microsoft's consumer communication strategy as it focuses entirely on Teams integration.