Microsoft (MSFT.O) is close to buying internet telephony network Skype in an $8.5 billion deal, a source familiar with the situation said, as it seeks to regain ground on growing rivals such as Google (GOOG.O). Microsoft's interest in the loss-making but popular Skype, which has 145 million users on average each month and has gained favour among small business users, highlights a need to gain new customers and platforms for its Windows and Office software. Skype, which allows people to make calls at no charge but has also developed premium services, would give Microsoft a foothold in the potentially lucrative video-conferencing market as businesses shift to lower-cost ways of communicating. This could be integrated into Microsoft software such as Outlook to appeal to corporate users, while the voice and video communications could link to Microsoft's Xbox live gaming.
Microsoft Corporation is engaged in developing, manufacturing, licensing and supporting a range of software products and services for different types of computing devices. Shares of MSFT remained unchanged at $25.83. In the past year, the shares have traded as low as $22.73 and as high as $29.73. On average, 61470900 shares of MSFT exchange hands on a given day and today's volume is recorded at 226950.
Google Inc. (Google) is focused on improving the ways people connect with information. Shares of GOOG remained unchanged at $537.68. In the past year, the shares have traded as low as $433.63 and as high as $642.96. On average, 2799000 shares of GOOG exchange hands on a given day and today's volume is recorded at 0.
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