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Monday, September 12, 2005



Ebay Buys Skype, China Blocks Skype


(Hat Tip: Junto Boyz, Committee to Protect Bloggers)

(C|Net) Company executives said Monday that eBay plans to pay $1.3 billion in cash and $1.3 billion in stock to the global communications company. It has agreed to hand over up to an extra $1.5 billion, for a total payout of more than $4 billion, if Skype meets certain financial targets by 2008, according to a presentation to investors on Monday morning. (Source*)

Ebay is quickly becoming the flea market of the world as it's acquisition of Skype will enable buyers and sellers to communicate quickly with each other, even if they are thousands of miles away and reside on different continents. With half of Skype's revenue coming from Europe and a quarter from Asia, this VoIP seems to be establishing it's presence throughout the world--everywhere that is except for China.

(Reuters) China Telecom has started blocking access to a popular Internet telephone service that is threatening its long-distance revenue, according to local media reports and Internet postings.

China's largest fixed-line phone carrier recently began blocking access to service from Skype Technologies SA, a European-based Internet telecoms services provider, in the affluent southern city of Shenzhen near Hong Kong, according to the reports, including one in the Shanghai Daily. (Source*)

Apparently China is blocking them for economic reasons, as Skype's phone rates were better than China Telecom's, which charges users $1 per minute compared with Skype's 2.5 cents (US) per minute. China is threatening to fine those who attempt to get around it's censure of Skype, although many users are reporting their ability to access the program.

Although this may seem like a temporary set back for advocates of both capitalism and liberty, with other VoIP chat programs on the market, (such as Google Talk and AIM) communication to China may only be limited by a user's ability to use a PC.



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