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Is Skype Part of Office 365?

Published in Microsoft 365 Communication 4 mins read

Yes, historically, Skype for Business was a key component of Office 365, which has since evolved into Microsoft 365. However, its functionalities have largely been superseded by Microsoft Teams as the primary communication and collaboration platform within the Microsoft 365 ecosystem.


Understanding the Evolution: Skype, Office 365, and Microsoft 365

To fully understand the relationship between Skype and Office 365, it's important to differentiate between the consumer version of Skype and Skype for Business, and to acknowledge the evolution of Microsoft's product suites.

1. Skype for Business and Office 365

In the realm of enterprise solutions, Skype for Business was the unified communications platform offered by Microsoft. It provided features such as instant messaging, presence, audio and video calls, and online meetings for businesses.

Skype for Business was an integral part of what is now known as the Microsoft 365 suite of products. This meant that many business subscriptions to Office 365 included Skype for Business, providing organizations with a robust tool for internal and external communication. It allowed companies to manage their communication infrastructure, integrate with other Microsoft applications like Outlook, and provide secure, reliable communication channels for their employees.

2. The Transition to Microsoft Teams

Microsoft has strategically transitioned its focus for enterprise communication from Skype for Business to Microsoft Teams. The functionalities of Skype for Business have been fully incorporated and significantly expanded upon within Teams.

  • Retirement of Skype for Business Online: Microsoft officially retired Skype for Business Online on July 31, 2021. This move solidified Microsoft Teams as the sole communication and collaboration solution for Microsoft 365 users.
  • Microsoft Teams as the Successor: Microsoft Teams is now the central hub for team collaboration, encompassing chat, meetings, calling, file sharing, and integration with hundreds of business apps. It offers a more comprehensive and modern experience than its predecessor.

3. Consumer Skype vs. Business Solutions

It's crucial to distinguish between the two versions of Skype:

  • Consumer Skype: This is the free version used by individuals for personal calls, video chats, and messaging. While it can be linked to a Microsoft account, it is generally a standalone application and not directly part of the core Office 365/Microsoft 365 business subscriptions.
  • Skype for Business: This was the enterprise-grade solution, offering advanced security, management, and integration features tailored for organizations. As mentioned, it has been replaced by Microsoft Teams.

What is Microsoft 365?

Microsoft 365 is a comprehensive suite that combines Office 365 apps (like Word, Excel, PowerPoint, Outlook), Windows 10/11, and enterprise mobility + security features. It offers a complete set of intelligent tools for collaboration, productivity, and device management, with Microsoft Teams at its heart for communication.

Key Features of Microsoft Teams (The Modern Solution)

As the successor to Skype for Business within Microsoft 365, Microsoft Teams offers extensive capabilities:

  • Unified Communication: Centralizes chat, voice calls, video calls, and online meetings.
  • Team Collaboration: Provides dedicated channels for specific teams or projects, facilitating shared workspaces.
  • File Sharing & Co-authoring: Integrates seamlessly with OneDrive and SharePoint for document management and real-time collaboration on files.
  • App Integration: Allows integration with a vast ecosystem of third-party applications and services.
  • Security & Compliance: Offers robust security features and compliance standards essential for businesses.

Practical Implications for Users

For businesses and individuals subscribed to Microsoft 365 plans:

  • Focus on Teams: If your organization previously used Skype for Business, you would have migrated to Microsoft Teams for all your communication and collaboration needs.
  • Enhanced Productivity: Teams is designed to be a central hub, reducing the need to switch between multiple applications for daily tasks.
  • Continuous Innovation: Microsoft continues to invest heavily in Teams, regularly introducing new features and improvements to enhance user experience and functionality.

Comparison of Communication Tools within Microsoft Ecosystem

Feature/Service Consumer Skype Skype for Business (Retired) Microsoft Teams (Current)
Primary Audience Individuals, personal use Businesses, enterprises (legacy) Businesses, enterprises, education
Core Function Free calls, video, chat Business IM, calls, meetings, presence Unified communication, collaboration, file sharing
Part of Microsoft 365 No (standalone) Yes (historically, now replaced) Yes (core component)
Key Differentiator Simplicity for personal connections Enterprise-grade features, integration with Office All-in-one hub for teamwork, extensive integrations
Current Status Active and free Online service retired July 31, 2021 Actively developed and primary communication platform

In summary, while the original consumer Skype is a separate entity, Skype for Business was indeed a fundamental part of Office 365, representing Microsoft's solution for business communications. Today, its role has been fully assumed and expanded by Microsoft Teams within the broader Microsoft 365 suite.