May 10, 2011
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Skype is in demand but not from members or users.

Discussions are at the beginning and being totally specific is going to be difficult, but according to reports from good sources, Skype is hot property. There have been no public releases to its members or to the public; however you might not have to wait for long.

A partnership deal for Skype is not something that has been talked about before. This time the reports involve giant businesses. Google and Facebook are considering separate bids to get their hands on the video conferencing service.

If you were Skype what would you do (assuming that the bids were identical)? Would you take the Facebook partnership and combine the instant chat with the additional feature of running live video connection as well or the Google bid and generate more members and more business users using your services.

As we know from previous blogs, Skype has a lot of members, but the percentage of members that actually pay for Skype services is very low. This poor revenue stream may not be solved with a Facebook partnership – it could increase the number of members but not the percentage of paying members. On the other hand Google with the PPC and SEO services that are very business related, could boost revenue when offering conference video calling features to a business audience.

This deal could be very important to both parties (Google and Facebook) particularly as Google is losing ground against Bing and Facebook could continue its domination of the social network. Google could also integrate the Skype services onto its Google Android Phones as well.

As mentioned this is an early report, so we will have to wait and see. In the meant time what, would you do?

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