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Microsoft's Skype acquisition in 2011 with $8.5 billion is regarded as the largest acquisition made by the company ever. It has even started a Skype division within a short period after the acquisition. Now, it is reported that the company is replacing Xbox Live Chat with Skype VOIP service. The replacement is applicable for all type of communication in Xbox platform.
According to reliable sources, Microsoft is planning to sync all of their communications technology with Skype. The Xbox Live Chat replacement can be considered as the result of this plan. This move is likely to happen with the release of next generation Xbox console, new Xbox 720. It is expected that this console will be launched later this year.
The plans to replace Microsoft's popular instant message chat service MSN with Skype is also going in progress. The MSN Messenger service will retire probably in March. This will encourage the users to switch over to Skype automatically. Microsoft is expecting that the limitations in MSN Messenger service can be made up with Skype.
The transition process from MSN Messenger service to Skype is quite easy. Users can sign into to the Skype account with their Microsoft Account used in MSN. The contacts in Messenger will then appear in the Skype account. It seems that the transition from Xbox Live Chat to Skype will also work in this way.
Microsoft had earlier hinted about the Xbox Live Chat replacement in the job advertisement published on its website last year. They mentioned in the advertisement that the candidates can expect to join the team of Skype, focusing on the development of next generation Xbox.