The US software giant was cleared to buy the Internet communications provider “because the deal would not significantly impede effective competition in the European Economic Area or any substantial part of it,” the European Commission said late Friday afternoon.
Even though Microsoft has existing Internet communication products, the takeover would not reduce competition in consumer markets, namely because of Google’s rival offering, the office of European commissioner Joaquín Almunia (photo) explained in its press statement. The Commission also said Skype was not considered an enterprise product, a segment where Microsoft already faces notable competition from companies such as Cisco Systems.
Microsoft is paying US$8.5 billion for the Internet voice company, which is currently controlled by California private equity firm Silver Lake. Microsoft announced the acquisition May 10 and hopes to complete the transaction by the end of the year.
It received approval from US competition authorities in June, although reviews continue in Russia, Serbia, Taiwan and Ukraine.
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