Why is Microsoft purchasing Skype?

The biggest reason cited is that Microsoft needs a competitive offering to Google Voice and Apple’s emerging communication platform, Facetime. In other words, Microsoft got scared by Google’s lead once again.

Even if that may be true, that lead (Google’s) is in a non-core area for Microsoft. Microsoft is – first and foremost – a software company – one that has (finally) started churning out quality products.

Quality Product Exhibit A:

Microsoft’s .NET application platform has made serious headways into hitherto IBM (and Oracle) dominated enterprise software space. A space that is bigger than $100 Billion annually – and growing.

Microsoft took on one of it’s chief competitors (IBM) in the enterprise software space – and started crushing it through offering a superior suite of products. And as far as making in roads into this lucrative space, Microsoft was just getting started.

The Enterprise Software Space

Wouldn’t this $8B be better spent consolidating and locking in it’s leadership position in this enterprise software space? If I were Microsoft, I would want to do everything in my power to take out J2EE – and replace it with .NET. Not just because it was a product made by my company – but because it was a vastly superior product – positioned in a highly profitable market.

Instead of building on my lead, it looks like I am getting distracted by a competitor’s lead in a totally unrelated area.  A service that is only tangentially related to my core business.

SUMMARY

Come on Microsoft – focus on what you do best! Software and Software tools – not VoIP or video conferencing. The enterprise software market is still a $100 billion market and growing – and you only have a small share of it. You own a winning suite of products in the space – products that can easily win you the entire market – if you chose to put your cash power behind it.

Anuj holds professional certifications in Google Cloud, AWS as well as certifications in Docker and App Performance Tools such as New Relic. He specializes in Cloud Security, Data Encryption and Container Technologies.

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Anuj Varma – who has written posts on Anuj Varma, Hands-On Technology Architect, Clean Air Activist.

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