Is Cisco Acquiring Skype?

A first look at  this post on Gigaom and I thought to myself, this cannot be possible. However, after seeing the name of the buyer, I had to change my mind. Skype was already (not) sold to eBay once and this time again, a new probable buyer is Cisco.

Skype, as we all know is the undoubted and undefeated champion in VOIP technologies. Many companies like Rebtel have tried their hand at defeating Skype but have failed miserably. It is definitely a goose with golden eggs in the form of its strong IPO.

However, Cisco was not the only company looking to buy Skype. The acquisition is valued at $5 billion and Google has recently backed out from the list of prospective buyers because of antitrust concerns.

Cisco already deals in state of the art networking technologies. While many have speculated that it wants to enter the word of services with this acquisition, in my opinion, the hierarchical security measures used by Skype VOIP may be of special interest to it. After all, the last thing Cisco would want to do is compete directly with some of its big competitors.

The proceedings of the deal are being kept secret and the news might be a rumor as well. Nevertheless, i guess everyone likes to speculate a bit.

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Chinmoy Kanjilal

Chinmoy Kanjilal is a FOSS enthusiast and evangelist. He is passionate about Android. Security exploits turn him on and he loves to tinker with computer networks. You can connect with him on Twitter @ckandroid.