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Microsoft's Skype to run under new joint venture in China

Skype, the instant messaging and online voice-and-video-call service owned by Microsoft, will be relaunched in mainland China under a new joint venture, following the end of a long-standing alliance in the market with Tom Group, the Li Ka-shing-controlled media conglomerate.

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Under mainland regulations, Skype services are provided through a partnership. Rival services include Tencent's QQ. Photo: AFP
Bien Perez

Skype, the instant messaging and online voice-and-video-call service owned by Microsoft, will be relaunched in mainland China under a new joint venture, following the end of a long-standing alliance in the market with Tom Group, the Li Ka-shing-controlled media conglomerate.

Tom last week advised Skype users on the mainland, where the service has been run under the Tom-Skype venture since October 2004, that Microsoft would be taking over this online business with effect from November 24.

In a statement released yesterday, Judd Harcombe, the head of global market development at Skype, said a new joint-venture partnership on the mainland would soon be announced.

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"In [mainland] China, Skype software is made available through a partnership to comply with established procedures to meet obligations under local laws," Harcombe said.

We [aim to make] the transition seamless for our users
JUDD HARCOMBE, SKYPE

"We are committed to making the transition seamless for our users and look forward to Tom's continued assistance."

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A Tom spokeswoman yesterday said the company had no comment on Microsoft's plan to get a new partner for Skype on the mainland.

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