Skype Acquires Qik Rather Quickly
posted Sunday Jan 16, 2011 by Nicholas DiMeo
At the Consumer Electronics Show (CES), Skype made a huge announcement when they said they were going to acquire the enemy video-chatting company Qik. At that time, nobody knew any terms of the deal but Skype did say that everything would be finalized by the end of the month. Skype sources even said there would be a "focus on providing a richer, more integrated experience that will allow people globally to share experiences in real-time video across different platforms".
Well, fast forward to just over a week later and Skype has posted on their blog that they have officially acquired Qik and the buyout is complete.
Check after the break to see the announcement and press release about the acquisition.
Here is Skype's celebratory Qik post.
I’m happy to confirm that we've completed the acquisition of Qik. The transfer of shares and funds between the shareholders of Qik and Skype was completed today and Qik is now under the ownership of Skype. We're very excited about this move, and look forward to working together with the Qik team to make our mobile video products even better.
Now, for the press release from CES about the acquisition.
Skype To Acquire Qik
Combined companies bring deeper video capabilities across devices
LUXEMBOURG, 6 January 2011 - Skype today announced it has entered into a definitive agreement to acquire Qik, a provider of mobile video software and services that enable individuals to capture, instantly share and preserve great moments on video from anywhere. Qik has 60 employees, and is headquartered in Redwood City, California and has an office in Moscow, Russia. The transaction is expected to close in January 2011. Terms of the acquisition will not be disclosed.
Qik was founded in 2006 and offers innovative and flexible solutions to capture and share video with anyone across mobile devices, the web, and desktop platforms. Videos can be shared in real time or stored so moments can be viewed later, allowing for video messaging, sharing and archiving. The Qik service is available on over 200 mobile phones across the Android, iPhone, Symbian, Blackberry and Windows Mobile platforms, and comes pre-loaded on a wide variety of mobile handsets through partnerships with leading handset manufacturers and carriers.
Both Skype and Qik have a common purpose of enriching communications and sharing with video, across any device. The acquisition of Qik helps accelerate Skype's leadership in video by adding recording, sharing and storing capabilities to Skype's product portfolio. Through this acquisition, Skype will also be able to leverage the engineering expertise that is behind Qik's Smart Streaming™ technology, which optimizes video transmission over wireless networks.
"The Qik team has delivered exceptional video experiences for its mobile partners and millions of end users across a range of devices," said Tony Bates, Skype's Chief Executive Officer. "Skype's software enables an estimated 25 percent of the world's international long distance voice calling minutes*, and approximately 40 percent of those Skype-to-Skype calls are happening over video. Qik's deep engineering capabilities and strong mobile relationships will be an impressive complementary fit with Skype."
Together, Skype and Qik will focus on providing a richer, more integrated experience that will allow people globally to share experiences in real-time video across different platforms, as well as, store those moments so they can be viewed anytime later.
"Qik has worked very hard to solve complex problems that allow millions of people everyday to take advantage of sharing their lives with those people who are most important to them," said Vijay Tella, Chief Executive Officer of Qik. "Joining Skype allows Qik's team to unite with Skype's talented team to develop new and innovative products for our customers and partners."
* 2010 TeleGeography Research issued on January 6, 2011; 24.7% of total international PSTN and international Skype-to-Skype calling minutes
