Who Will Buy Skype?

eBay to buy Skype?Yet another suitor has been rumoured to be in talks with Skype to buy the Internet telephone company. This time it’s eBay. It’s been a who’s who of the web so far taking interest, including Google and the Internet company hungry Rupert Murdoch. Talk about (no pun intended) enjoying the attention of the big boys!

Will Skype’s owners sell and how much will it eventually go for? It’s hard to evaluate a company like Skype. It doesn’t make a lot of money. Of course that depends on your definition of a lot, but certainly valuations of over 1 billion dollars are not extrapolated only from current profits. The real price driver is the potential. Skype is the clear leader in online telephony in terms of penetration and quality of service. The question is how can you monetize it effectively. The answer may end up fundamentally determining how the voice telecommunication industry of the future is modelled.

AustralianIT: The Wall Street Journal and the New York Post reported that eBay may buy Skype for between $US2 billion ($2.6 billion) and $US5 billion. The talks follow similar rumblings over the past month that Skype was in negotiations with Rupert Murdoch’s News Corp and internet search leader Google.

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8 Comments

MyAvatars 0.2

Only fairly recently have I noticed this, but eBay now owns http://www.shopping.com

Comment by Benjamin Riches @ 2005-09-10 02:26:25
 
MyAvatars 0.2

How much profit does Skype actually make? Whatever it is, it’s clear that the potential for paid services (Skype Out, Skype In, Messaging, International Numbers etc.) is huge.

For example, internet-based companies will be able to easily and cheaply set up high quality voice connections in any number of countries. Especially where the time difference is small, this is a massive step forward.

It’s pretty scary / cool to think that within a few years the Skype founders have built a $5 Bil+ asset, starting with only a very simple but effective concept with broad appeal. Skype Rocks!

Comment by Marketing Results @ 2005-09-10 11:30:02
 
MyAvatars 0.2

Bah, News corp has been buying up internet companies like they did with newspapers in the 80s. Trying to control internet media and advertising media online is their only goal. I sure hope Skype doesn’t even sell out, they should go public.

Comment by Apollyon @ 2005-09-10 17:32:38
 
MyAvatars 0.2

I agree — I’d buy some stock. I love that little piece of software.

Comment by Jason @ 2005-09-11 00:50:38
 
MyAvatars 0.2

Skype has freally made its mark via computer-to-computer telephony. It still has a number of issues with services to landlines, esp in Australia where lag times make the service non-usable for business type acivities. But the whole VOIP thing its going to be very interesting to watch.

Comment by PlusOne Marketing @ 2005-09-11 14:41:18
 
Comment by PlusOne Marketing @ 2005-09-13 08:07:15
 
MyAvatars 0.2

Yep - Skype has been sold to eBay for $2.6 Bil.

See News: eBay to Acquire Skype

Comment by Yaro @ 2005-09-13 19:33:35
 
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[…] As many had speculated, eBay will acquire Skype Technologies which is a free internet based phone service allowing you to talk to anyone anywhere in the world. The settlement is said to be around $2.6 in cash as well as eBay stock and many other benefits. Check out the full story here on Skypes website. […]

 

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