Skype Acquired By Microsoft

Voice over IP service provider Skype has been acquired by Microsoft, the companies said this morning, in a deal worth $8.5 billion in cash. Microsoft is acquiring Skype from an investor group led by Silver Lake, including eBay International AG, CPP Investment Board, Joltid Limited, Europlay Capital Advisors, and Andreessen Horowitz. Microsoft said that Skype will become a new business division within Microsoft, headed by current Skype CEO Tony Bates.