FTC Approves Microsoft Acquisition Of Skype

In May 2011 Microsoft announced that they would pay $8.5 billion in cash to acquire internet phone and chat provider Skype and less than one month later the FTC has approved that acquisition.

While concerns began to arise that Microsoft would begin to restrict Skype services on other platforms, providing the company with an unfair advantage in the VoIP (Voice over Internet Protocol) market, FTC officials said that there did not appear to be any anti-trust issues with the deal and would in short allow it to proceed. Microsoft has said repeatedly that Skype would continue to run as it’s own division.

The acquisition of Skype is important as Microsoft needs to compete successfully with Google and Apple video calling options so they can control brand recognition within the international market that Skype currently controls.[via]