Skype filing reveals company's worries, strategy

The IPO filing Skype submitted this week is filled with interesting tidbits about the dynamic company. According to the S-1 filing the company has increased its user base to 560 million at the end of June over the 397 million from last year. Skype's revenue is up 25 percent from the same period last year.

The S-1 shows that the company plans to continue its growth by seeking to monetize its offerings further as well as grow its user base into the business world. Skype plans to attract small and medium sized businesses that want video chat but can't afford the pricier offerings already on the market. They also plan to add more premium services to entice users to pay for services. One such service could be a group video chat offering that would only be available to subscribers. For the users who still want their calls free, Skype plans to grow their marketing efforts over time, increasing their advertising around free video calls to add revenue.

All is not rosy with the S-1 filing, the company also faces up to some of its fears. According to BusinessWeek, the document also mentions the threats within the mobile VoIP world. The company's software inhabits a precarious place in the mobile VoIP world where Apple, an App store owner or a wireless carrier could alter terms and stop their app from working or remove their app from phones or stores. They also see their consumer-based history as a potential problem for convincing businesses to sign on.

For more:
- read this GigaOm story on strategy
- read this BusinessWeek article on worries

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