Microsoft Skype Strategy: is it all about xbox?

Posted on July 8, 2011


Like everyone else, I was surprised by Microsoft paying BIG $$$ for Skype. Recently I ran into Tony Bates at Andressen Horowitz CEO event and he said its the integration with xbox and others which are very important. Still didn’t make sense.

Facebook announcement yesterday, got me thinking. But jet lagged this morning returning from my Japan trip, it finally hit me. It’s not xbox, it Kinect. Kinect is one of the most exciting products Microsoft has produced in recent times, it is doing really well. People love it. My geeky friends think its cool. When I walk into Fry’s kids are playing with it rather than the other consoles.


Skype integrated with Xbox could instantly turn out video conferencing for the masses straight out of their living rooms. If it became point and click, I would buy it for all my “cool” relatives, most of whom are on facebook. hmm. That could change everything.

Netflix did this amazing successfully. They embedded the functionality, now its omni-present in all TVs. Could skype + connect become like that?

Posted in: Change Control