400 Billion Skype Calls Per Year

Skype users made over 100 billion calls in the quarter according to Microsoft's earnings conference call.  Is it fair to say they will make over 400 billion calls per year.  How does this change International calling rates now that it makes 25% of all international calls (see chart below)?  Should your talk time rate plans be getting cheaper or will carriers continue to bundle talk time with data plans?  Carriers have seen their talk time minutes growth shrinking and this is likely due to alternatives like Skype (see chart below).  The billion dollar question is: What is Microsoft's average revenue per call for Skype users?  Assuming advertising is the method of payment.  

Skype will undoubtedly play a large role in the growth of Microsoft's mobile. cloud and gaming businesses.  Lets hope the keep the service free and continue to improve their monetization of the service through advertising.

Popular Articles