Microsoft to beat Facebook, Google for Skype acquisition

San Francisco, May 9: Recently, we heard rumours about the possible acquisition of Skype by the Android maker Google and world's largest social networking website, Facebook. But according to latest rumour mills report, the software giant Microsoft is also planning to buy or start a joint venture with the internet telephony service Skype.

The technology site Gigaom reported that officials at Microsoft and Skype have entered in talks and the announcement would be made soon. Citing the "people familiar with Skype", the report added that Skype's corporate attorneys and other senior managers are working hard "ahead of some kind of announcement".

The Skype acquisition plans by Microsoft sprouted just two days after we reported Microsoft's alleged plan to acquire the BlackBerry maker Research in Motion (RIM).

Rumours on Microsoft's plan to buy Skype made the web busy with discussions on the future of Skype services. Analysts opinionated that the plan will boost Microsoft to compete against its main rival, Google. Microsoft can use Skype"s voice, video and sharing capabilities to fight against various Google services.

Being the widely used internet telephony service, Skype managed to bag great reputation in the gadget market. The rivalry between Facebook, Google and Microsoft will increase the value of Skype. Media reported that Facebook had offered price between $3 billion and $4 billion to Skype. Meanwhile, Skype is still planning to float its IPO in NY Stock Exchange.

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