For companies, sometimes it makes sense to partner with a more established organization in order to grow business and reach new customers.
A major development in the technological business sector is the recent acquisition of Skype by Microsoft for $8.5 billion. Both the communications provider and software solutions company stand to benefit from this transaction, which has been approved by the boards of directors for both organizations.
According to Tony Bates, the chief executive officer of Skype, both organizations share a vision of delivering software innovation and products to consumers.
Skype will become a business division within Microsoft, which Bates will be the president of. In addition, the voice and video service provider will have the opportunity to extend its reach as it provides new ways for people to communicate and collaborate.
Joining Microsoft will also allow Skype to support such devices as Xbox, Kinect and Windows Phone.
"Together we will create the future of real-time communications so people can easily stay connected to family, friends, clients and colleagues anywhere in the world," said Steve Ballmer, Microsoft's chief executive officer.