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Microsoft has just announced that it will purchase Skype for $8.5bn.

On the surface of it it seems as though it's a great purchase with possible integration with Xbox, Windows Phone 7, Live.com etc. But has it come at too high a cost?

In 2009, 70% of Skype was sold for $2bn. 2 years later, it's bought for $8.5bn? I doubt that Skype's value has increased to the degree which justifies the price and the stock market seems to agree - Microsoft's share price is down slightly for the day by 0.62%, in spite of the NASDAQ gaining 1.01%.


If Microsoft can integrate it successfully with the rest of it's products, it may be able to create an even stronger suite which might also strengthen it's case against iOS from Mac and Linux. There may not be any direct profits, but may be worth it when considering total sales and products.


It's yet too be seen whether this will be the right decision...