Skype is a software application that allows users to make voice and video calls and chats over the Internet. Calls to other users within the Skype service are free, while calls to both traditional landline telephones and mobile phones can be made for a fee using a debit-based user account system. Skype has also become popular for its additional features which include instant messaging, file transfer, and video conferencing. Skype has 663 million registered users as of 2010.
On 10 May 2011, Microsoft Corporation agreed to acquire Skype Communications, S.à r.l for US$8.5 billion. The company is to be incorporated as a division of Microsoft, and Microsoft will acquire all of the company's technologies, including Skype, with the purchase.
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