It is very similar to companies like Google and other internet companies. When you go and search on Google you don't pay for that. But sometimes you click on an advert and Google makes money on that.
Niklas Zennstrom
People need to access Skype wirelessly, no matter where they are, and what happens is that we'll be taking advantage of the rollout of Internet everywhere - WiFi and WiMax in particular.
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Skype is easy enough to use so that people don't need to be tech savvy - a lot of users just want to communicate with their friends and family, and they find this is the easiest, cheapest way.
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Then people started using it more and more and it became the most downloaded software on the internet.
We also have a conference call feature where up to five people can talk on one Skype call.
We have just started, and if you compare the number of people using Skype to the number using a telephone network around the world, we're still just starting.
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When radio stations started playing music the record companies started suing radio stations. They thought now that people could listen to music for free, who would want to buy a record in a record shop? But I think we all agree that radio stations are good stuff.
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If you could utilize the resources of the end users' computers, you could do things much more efficiently.
computers theend
The telephone is a 100-year-old technology. It's time for a change. Charging for phone calls is something you did last century.
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And the VCR did the same thing: the movie industry thought nobody would ever watch movies any more.
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With our work at Kazaa, we began seeing growing broadband connections and more powerful computers and more streaming multimedia, and we saw that the traditional way of communicating by phone no longer made a lot of sense.
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What we are doing is taking advantage of the broadband Internet to provide basically unlimited free calls to anyone at a higher voice quality than they can with the phone lines.
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Another differentiator is that Skype is free and simple to set up, and it costs us virtually nothing for a new user to join the Skype network, which is why we can offer the service for free.
They also can combine voice with instant messaging and online file sharing.
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