Internet telephony services provider Skype entered a definitive agreement to acquire mobile video software and services provider Qik. The transaction is expected to close later this month; financial terms were not disclosed, but multiple insider sources peg the purchase price at $100 million.
Qik’s platform enables consumers to capture and share video across mobile devices, the web and the desktop–content can be shared in real time or archived. The Qik solution extends across more than 200 mobile phones spanning the iOS, Android, BlackBerry, Windows Mobile and Symbian operating systems; in addition, Qik comes preloaded on a series of devices via partnerships with multiple manufacturers and mobile operators.
According to Skype, the acquisition bolsters its existing video calling services by adding recording, sharing and storage capabilities to its product portfolio. In addition, Skype can leverage Qik’s Smart Streaming technology, which optimizes video transmission over wireless networks. Approximately 40 percent of Skype-to-Skype calls take place over video.