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Skype Launches Even Cheaper Voice Call Subscriptions

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Skype is launching a new set of subscription plans that would make it even cheaper to call landline and mobile phones in about 170 countries. They come as a 60-minute to unlimited calling packages and are available in 1-month, 3-month and 12-month plans. Skype says that prices to many (if not all locations) across the globe are going to be around a penny a minute.

The company currently accounts for 12 percent of the world’s international calls, according to TeleGeography Research. Converting its huge base of users — over 550 million at last estimate — to paying for voice minutes is the only viable business for Skype — for now. It needs to ramp up its revenue stream in order to get big enough and go public fast. The company needs to be getting over billion dollars in revenues to get a strong welcome on the public market.

7 Responses to “Skype Launches Even Cheaper Voice Call Subscriptions”

  1. They should use some of their cash to put more lobbyists in Washington. Using Skype (VOIP) is in violation of my ISP’s TOS, as I’m sure it is for most in the US. It can’t be good for your long-term business strategy when the companies that are your competitors can sever the connection with your customers at any time if they so desire.

    Who needs net neutrality? Skype for one.

  2. Looks from the link like Skype is still limiting the subscription products to a maximum list of 40 countries – the broadening of this list would be bigger news than the lowering of subscription prices.

    As for Skype’s market cap, they have all but passed on providing a good service package for small business users who pay $25-50/seat/month for VOIP services. These are the people Skype should go after if it wants to make a strong IPO, not more consumers who spend under $2/year on average with the company, and offering hosted PBX services to business customers would offer better margins at scale than fractions of pennies over call termination costs.

  3. Skype is the best internet telephony service ever launched. The features it offers, it’s rates, service, everything is just incomparable. There are lots of other internet telephony services but none of them can beat Skype. I am a really big fan of Skype and use it often to call friends abroad. The new subscription plans are really awesome. I will be subscribing to unlimited plan. It works out really cheap.