Skype Technologies S.A. (also known as Skype Software S.A., Skype Communications S.A., Skype Inc. and Skype Limited) is a Microsoft-owned telecommunications company headquartered in Luxembourg City, Luxembourg. The software continues to be licensed by, and operated by, Skype Technologies.Skype, a voice over IP (VoIP) service, was first released in 2003 as a way to make free computer-to-computer calls, or reduced-rate calls from a computer to telephones.