Microsoft Buys Out Skype, Plans for Xbox Live and Kinect

GR uses Skype for our weekly meetings, so the announcement via press release that Microsoft has sprinkled $8.5 billion (chum change, really…) all over Skype might actually impact us sooner than we think. For the better, we hope.

The good news, though, is that Microsoft plans to expand its functionality by using it to connect Skype users on Xbox Live through Kinect, a fact which excites Microsoft CEO Steve Ballmer:

Skype is a phenomenal service that is loved by millions of people around the world. Together we will create the future of real-time communications so people can easily stay connected to family, friends, clients and colleagues anywhere in the world.

Additionally, the Microsoft Skype Division will also "invest in and support" Skype on "non-Microsoft platforms". What this means for Skype on PSP, though, is unknown. This purchase will likely prevent Nintendo, Sony, and other competitors from incorporating Skype, and pressure them to find an alternative chat service.

Raise your hand if you think we're going to see a live Skype chat at the E3 Microsoft press conference (with Peter Molyneaux talking about how Fable IV will change the world)?

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