Skype is a telecommunications application that specializes in providing video chat and voice calls between computers, tablets, mobile devices, the Xbox One console, and smartwatches via the Internet. Skype also provides instant messaging services. Users may transmit text, video, audio and images. Skype allows video conference calls.
First released in August 2003, Skype was created by the Swede Niklas Zennström and the Dane Janus Friis, in cooperation with Ahti Heinla, Priit Kasesalu, and Jaan Tallinn, Estonians who developed the backend that was also used in the music-sharing application Kazaa. In September 2005, eBay acquired Skype for $2.6 billion. Microsoft bought Skype in May 2011 for $8.5 billion. Skype division headquarters are in Luxembourg, but most of the development team and 44% of all the division's employees are still situated in Tallinn and Tartu, Estonia.
Skype allows users to communicate over the Internet by voice, using a microphone, by video using a webcam, and by instant messaging. Skype implements a freemium business model. Skype-to-Skype calls are free of charge, while calls to landline telephones and mobile phones (over traditional telephone networks) are charged via a debit-based user account system called Skype Credit.
Skype originally featured a hybrid peer-to-peer and client–server system. Skype has been powered entirely by Microsoft-operated supernodes since May 2012.
The name for the software is derived from "Sky peer-to-peer", which was then abbreviated to "Skyper". However, some of the domain names associated with "Skyper" were already taken. Dropping the final "r" left the current title "Skype", for which domain names were available.
Source: Wikipedia, the free encyclopedia