Subba’s Serendipitous moments

March 30, 2009

Skype in the Enterprise

Filed under: Business,Competition,Model — Subbaraman Iyer @ 2:13 am
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Saw the news item that Skype  is finally targeting the enterprise. Makes you wonder, why they didn’t do it earlier and what were they waiting for!

Few people know that Skype with 33 billion minutes of use is the largest provider of international voice traffic in the world. And it surpasses AT&T. More importantly, Skype grew by 41% in 2008, compared with traditional international call traffic at just 12%.

With revenues of $550 million in 2008, it is now trying to penetrate into the Enterprise segment with a view to grow aggressively.

Skype launched its Enterprise offering which enables employees to make domestic and international calls using normal PBX systems instead of using computers. The key dependency is that the PBX needs to support SIP (an open source PBX protocol)

This is another potential game changer, but Skype doesn’t have an enterprise sales team nor the alliance network to penetrate the enterprise. If Skype can find the right go to market model, some of the IP Telephony vendors could feel the heat.

Well, why they didn’t pursue paying customers earlier beats me! Worse, EBay paid $2.5 billion for Skype in 2005. My hunch is that EBay may very soon put up Skype for sale.

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  1. if you’re looking for a logo for Skype For Enterprise.

    Comment by Phil Wolff — March 30, 2009 @ 11:55 pm | Reply

  2. It appears, suddenly Skype is going all out to up its value. When they are making a strong move in to the enterprise segment their also up their ante on the consumer front with introduction of Skype mobile client for iphone (launching this week) and B’berry (scheduled for Mid May)(it already has mobile client for windows mobile).

    I will not be surprised if they are doing all they could before they could salvage a bit of what was lost in the bubble before they put it up for sale?

    Do you foresee that if its up for sale, some “box” manufacturers from the enterprise segment will go after it. How about Cisco making a move to get it??

    Comment by Krishna Baidya — March 31, 2009 @ 12:10 pm | Reply

  3. skype client for iPhone is just out … here is the download link ( …. early review is “really buggy so far, keeps on crashing”

    Comment by Krishna Baidya — March 31, 2009 @ 12:12 pm | Reply

  4. ebay gonna spin-off skype intending public offering in 2010

    they just appointed Goldman to run the IPO

    Do you think it would create a buzz among independent investors in the current market scenario?

    Comment by Krishna Baidya — April 15, 2009 @ 11:08 am | Reply

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