Analyst: Microsoft-Skype deal can benefit Nokia
Telecom operators’ reluctance may block the growth in Skype phone calls on mobile phones
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According to industry analysts, it is not clear what kind of impact the software giant Microsoft’s acquisition of Skype could have, for instance on the fortunes of Microsoft's new strategic partner Nokia.
Microsoft Corporation announced on Tuesday that it planned to acquire Skype, the company behind the software application that allows users to make VOIP calls and chats over the Internet, for EUR 5.9 billion. The agreement has been approved by the boards of directors of both Microsoft and Skype.
In February, Microsoft and Nokia announced that they were to enter into a major strategic partnership agreement, under which Nokia would start to use Microsoft’s Windows Phone 7 operating system as its primary platform in smartphones.
In a recent report issued by International Data Corporation (IDC), senior research analyst Rosalind Craven estimated that the deep integration of Skype software into the Windows phone operating system would be a ”major selling point” for Nokia’s upcoming smartphones.
Skype’s current client software can already now be downloaded to mobile phones based on Android, iPhone OS, and Nokia's own Symbian platforms.
According to Craven, Microsoft could nevertheless wish to include in the Windows Phone version for example special features which would not be available for any other systems.
When integrating Skype technology into its Windows Phone software, Microsoft could actually give its new handsets an attractive edge that could be used to compete against the Internet features provided by iPhone and Android-based mobile phones.
However, Craven warns that there is a downside: some operators could take a negative attitude towards the use of Skype becoming more common on mobile phones.
Operators are not overly fond of Skype, as using the Internet phone company’s software and services allows consumers to make free or very cheap calls, taking money out of the operator's pockets.
Controllling the existing phone networks, operators exercise power over mobile handset markets as well. In many countries, operators are selling a major part of all handhelds in bundled deals with a mobile connection thrown in.
Research company Morningstar’s analyst Sunit Gogia estimated to the American news agency Associated Press that it will require some effort from Microsoft to turn the Skype deal into a money-spinner.
Microsoft Corporation announced on Tuesday that it planned to acquire Skype, the company behind the software application that allows users to make VOIP calls and chats over the Internet, for EUR 5.9 billion. The agreement has been approved by the boards of directors of both Microsoft and Skype.
In February, Microsoft and Nokia announced that they were to enter into a major strategic partnership agreement, under which Nokia would start to use Microsoft’s Windows Phone 7 operating system as its primary platform in smartphones.
In a recent report issued by International Data Corporation (IDC), senior research analyst Rosalind Craven estimated that the deep integration of Skype software into the Windows phone operating system would be a ”major selling point” for Nokia’s upcoming smartphones.
Skype’s current client software can already now be downloaded to mobile phones based on Android, iPhone OS, and Nokia's own Symbian platforms.
According to Craven, Microsoft could nevertheless wish to include in the Windows Phone version for example special features which would not be available for any other systems.
When integrating Skype technology into its Windows Phone software, Microsoft could actually give its new handsets an attractive edge that could be used to compete against the Internet features provided by iPhone and Android-based mobile phones.
However, Craven warns that there is a downside: some operators could take a negative attitude towards the use of Skype becoming more common on mobile phones.
Operators are not overly fond of Skype, as using the Internet phone company’s software and services allows consumers to make free or very cheap calls, taking money out of the operator's pockets.
Controllling the existing phone networks, operators exercise power over mobile handset markets as well. In many countries, operators are selling a major part of all handhelds in bundled deals with a mobile connection thrown in.
Research company Morningstar’s analyst Sunit Gogia estimated to the American news agency Associated Press that it will require some effort from Microsoft to turn the Skype deal into a money-spinner.
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