But apparently they’re struggling for income and their existing paid services just aren’t bringing in enough. Last year, eBay wrote Skype down last year (and an impairment charge two years ago)—suggesting the company never lived up to eBay’s expectations in the deal. Now that they’re (mostly) on their own again, Skype is contemplating advertising on its signature free services.
In an interview with The Telegraph, CEO Josh Silverman explains that the company . . . is challenged by its desire to keep Skype-to-Skype calls free and to maintain the quality of service. As a result, the Skype team is “seriously considering” including ads from third parties in order to continue to operate the service free of charge.
Silverman says the ads will be done in a “tasteful way.”
Just last week, Skype announced up-to-five-way video calling, which will be a free service at first. After a few months, they’ll charge for that service, apparently thinking the service would be mostly utilized by business Skypers. It’s set to premiere this week.
What do you think? What should Skype do to make more money?