Far too much

Reuters writes:

Microsoft Corp’s move to buy money-losing Internet phone service Skype for $8.5 billion was immediately skewered by critics and investors, who questioned the logic of the deal and suggested the software giant is paying far too much.

$8.5 billion is a lot of money for a company that does not make a profit, net loss of $7 million last year. From the looks of it they are doing it for the technology and not the user base and Microsoft spends eight times as much on R&D than Apple.

I use Skype a lot, I just hope I don’t have to create a Windows Live Id!