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May 10, 2011

Microsoft buys Skype, why buy the cow when the milk is free

Image representing Skype as depicted in CrunchBase

Image via CrunchBase

The big news today is of course the 8.5 Billion big ones that Microsoft laid out for Skype.  While I love Skype and use it a lot, I am reminded of something my Grandmother used to tell me, “why buy the cow when the milk is free”.

I understand that Steve Ballmer is feeling vulnerable. After all Microsoft is not in the “cool boys club” with Google and Apple. But is going to the mall and spending 8.5 billion dollars going to make you cool? I don’t see how this is going to make Microsoft more relevant?

Everyone uses Skype on computer to computer calls and I bet there are some people who use it as their primary phone option, but 8.5 billion worth? I don’t think so.  This buy just stinks of desperation to me. But what do I know?

Will be interesting to see if we there will be any new Skype clients for iPhone or Android  in the not to distant future though.

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