Shalom Life | December 22, 2014

Facebook Rumored to be Buying Skype

Could the social giant be purchasing the communication giant?

By: David Shear

Published: May 5th, 2011 in Business » World

Facebook Rumored to be Buying Skype

Reliable sources say that Facebook founder and CEO Mark Zuckerberg is in discussion with Skype about either buying the VoIP giant or forming a joint venture, according to Reuters.

Skype was due to release its IPO which has been recently delayed by their CEO until 2011. The IPO was expected to raise around $1 billion, but source say that Facebook is discussing a purchase price of between $3 billion to $4 billion, significantly more than the value to be raised.

One of Reuters’ sources claimed that the deal being discussed is not for the purchase of the company but for a JV.

Skype and Facebook have collaborated together in the past. In Skype 5.0, which was released last year, one of the major features added was a Facebook tab which allowed users to SMS, chat with, or call their Facebook friends via Skype from the News Feed.

Should either deal go through, it will be interesting to see what will happen to the value of Skype’s shares on the secondary market and the value of the IPO when it finally releases.

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