What’s the Hype with Skype?
What’s the Hype with Skype?
VOIP (otherwise known as Voice over Internet Protocol) isn’t a new technology – it’s been around for over 10 years now and still hasn’t taken over the traditional telcos virtual monopoly on voice communications either by landline or by wireless networks.
So why is eBay so pleased to have acquired Skype recently?
Meg Whitman is quoted as saying, "In the end, the price that anyone can provide for voice transmission on the Net will tend toward zero." Is this a direct attack by eBay on the world’s major telcos?
Well probably not, because the value to eBay from using the Skype technology comes through leveraging their user’s ability to make and close deals quickly and at the last minute – not to make charges for using the “eBayphone”.
Many of eBay’s investors are apparently questioning the logic behind Whitman’s acquisition of Skype and are apparently viewing the move as an attempt to move into the traditional telcos’ territory. But they’ve missed the point – because eBay probably plans to stick to its’ core business of online auctions, but can massively leverage it’s position against potential competition by “bundling” VOIP services as part of the overall customer retention package.
Smart move Meg!
VOIP (otherwise known as Voice over Internet Protocol) isn’t a new technology – it’s been around for over 10 years now and still hasn’t taken over the traditional telcos virtual monopoly on voice communications either by landline or by wireless networks.
So why is eBay so pleased to have acquired Skype recently?
Meg Whitman is quoted as saying, "In the end, the price that anyone can provide for voice transmission on the Net will tend toward zero." Is this a direct attack by eBay on the world’s major telcos?
Well probably not, because the value to eBay from using the Skype technology comes through leveraging their user’s ability to make and close deals quickly and at the last minute – not to make charges for using the “eBayphone”.
Many of eBay’s investors are apparently questioning the logic behind Whitman’s acquisition of Skype and are apparently viewing the move as an attempt to move into the traditional telcos’ territory. But they’ve missed the point – because eBay probably plans to stick to its’ core business of online auctions, but can massively leverage it’s position against potential competition by “bundling” VOIP services as part of the overall customer retention package.
Smart move Meg!
