There  was lots of lament and thrashing when Skype announced the forthcoming end to the Skype Extras program for distributing Skype software partners offerings. By the end of August, 2010 the Skype Extras item in the Skype for Windows client will go away. But does that mean the end for developing products and services that use the Skype API’s? Certainly three of Skype’s software partners do not think so; they each have recently launched either an upgrade or a new offering:

Scendix has released Pamela version 4.6, continuing the enhancement of its popular utility for managing, archiving and recording Skype calls. Pamela also lets you have some fun with its Rich Mood Message editor and Emotions player. But most importantly Version 4.6 provides the long sought recording of Skype video calls.

InnerPass last week launched version 2.0 of its Skype-enhanced document management offering. A new client, which, in addition to incorporating traditional document management features such as version management, also allows you to manage all your Skype activities – web collaboration with conference calling that also includes multi-party desktop sharing.

And yesterday, Netralia, whose Skylook and Call Burner offerings have built significant user bases since their 2005 and 2007 launches respectively, have just announced the forthcoming launch of Vodburner, “the first product on the market to create video podcasts”.

Netralia CEO Jeremy Hague, in the press release linked above, has nicely summarized the reality behind what is currently available to support development of applications that incorporate Skype:

“We are proud to announce the upcoming launch of VodBurner today, which comes at an interesting time for the Skype Developer community, given the recent announcement regarding the Extras programme.”

“I think Skype’s announcement has caught a lot of people off guard, and there may have been some overreaction in some of the media comments.   It is important to remember that the programme is only being closed in its current form.  This does not mean Skype is removing support for developer apps.”

“Skype has supported developers since 2004, with the release of the Skype Public API.  This support is continuing.”

“Extras Manager, a separate initiative, was introduced in early 2007.  The idea was great – provide new and existing apps with an advertising platform inside the Skype client, and a payment platform integrated with Skype Credits.”

“However, the implementation was lacking.  As you can’t make a silk purse from a sow’s ear, we believe Skype has made the right choice to curtail this programme.  We are hopeful that Skype will find another way to execute on the promise of some of the great ideas of the Extras Manager dept, but providers of Skype apps do not need to rely on this.”

“What we are about is providing great applications that make use of Skype’s technology to benefit people, who will hopefully go on to be our customers.  This was our approach before Extras Manager was first thought of, and will continue to be our approach regardless of the approach Skype takes in the future.”

The important point at this time is to emphasize that developers, who make the effort to use the API’s, can be successful and continue to dedicate resources to the development of new or upgraded products.

• They have all built significant user bases; InnerPass has has over 1.5 million downloads since its version 1.0 launch in January 2009.
• They have found new ways to work with Skype as a conversation tool.
• They have all developed products which contribute to making Skype disruptive about business.

Two previous posts on this subject:

• “Skype Extras” Is Dead; Long Live the Skype API’s!
• Demythifying the Skype Developer Story

And Scendix comments on the end of Skype Extras in their PamNews blog:

• No Skype Extras System anymore

Summaries and reviews of these new offerings will follow over the next two weeks.

Question: will we learn any more about Skype’s developer and/or business programs at next week’s eComm Europe? Nobody’s saying but … there is a keynote speaker from Skype, eComm Europe’s headline sponsor.

Over the past two weeks we have started to see signs of a transition period for Skype’s developer support activities. Yes, Skype Extras is dead; however the current Skype API’s remain supported. Jonathan Christensen gave Michael Arrington at TechCrunch some hints of forthcoming developer support activity.  Skype for Asterisk was launched three weeks ago. All this builds on the “Skype Everywhere” theme announced last January at CES 2009.

And whither the Skype for SIP activity whose beta program was launched six months ago? Over the past two weeks we have seen a couple of Skype for SIP launch partner interoperability announcements incorporating Skype interoperability into their Unified Communications offerings:

• the initial announcement covered incorporation of Skype interoperability as a feature for Shoretel’s 11,000 enterprise customers using Shoretel’s IP Phone Systems.
• this was followed by an announcement of incorporation into the SIPfoundry’s open source enterprise IP PBX unified communications solution for organizations running a sipXecs IP PBX.

But today’s announcement of Skype for SIP interoperability with Cisco’s Unified Communications 500 Series for Small Business opens up significant new markets for Skype through Cisco’s extensive worldwide reseller channels. From the press release:

“Cisco is committed to delivering easy-to-use technology to small businesses to help them run their business better and gain a competitive advantage,” said Mark Monday, vice president and general manager, Small Business Solutions business unit, Cisco. “We are excited about Skype for SIP interoperability since it adds a very cost-effective choice to the many other options within the Cisco Unified Communications 500 Series.”

Note that Cisco VARS will be required to register for a new Skype Service Partner certification program covering configuration of the Cisco solution to support Skype for SIP. And that the Skype for SIP interoperability with the Cisco 500 Series goes through third party certification at tekVizion Labs, an independent interoperability testing facility in Richardson, Texas.

In all three cases Skype for SIP increases the enterprise’s or organization’s worldwide communications choices while reducing costs through:

• taking advantage of Skype’s interconnection to the PSTN that provides low cost (SkyepOut) calling to most countries worldwide
• receiving inbound calls from Skype users via a global click-to-call button on the enterprise’s or organization’s website
• receiving inbound calls via Skype Online numbers in 25 countries (previously SkypeIn)
• interoperation of these features with all the other features of the PBX offerings of  Shoretel, sipFoundry and Cisco’s 500 Series, such as call transfer, call forwarding, voicemail, etc.

For organizations and enterprises, the availability of Skype for SIP, Skype for Asterisk and the Skype API’s used by Skype’s other business communications partners, such as OnState and Scendix (PamFax), brings about significant overhead benefits. This offering:

• ensures that, with one service, the enterprise can achieve low cost calling to any country worldwide without the need to mange and use country- or region-specific calling plans offered by the legacy PSTN telcos.
• eliminates a layer of communications cost overhead through the value-add of making all Skype’s global termination agreements available through one source via the various Skype for Business partners’ distribution and reseller channels.

Bottom Line: These announcements all build on Skype’s “Skype Everywhere” strategy. The key point here is that, going forward, Skype’s developer and partner activities will focus on transitioning business markets into Skype services by Skype-enabling legacy communications services and platforms, complementing its prior focus on applications that bring about communications enhanced business processes.

As predicted last spring these announcements execute on Business Long Distance: Death by 1,000,000 PBX’s.

Dan York says “Congrats to Skype and Cisco on this announcement”.

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• Skype’s Stefan Öberg @ Interop: Stealthing Skype Into Business, But Cover the Entire Skype Ecosystem (voiceontheweb.biz)
• Skype Says Next Generation Platform Will Embrace Developers (techcrunch.com)
• The Future for 3rd Party Skype Developers: Bloggers Speak Out. (voiceontheweb.biz)
• Is OnState Delivering “The Call Center of the Future”? (voiceontheweb.biz)
• “Skype Extras” Is Dead; Long Live the Skype API’s! (voiceontheweb.biz)
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• Skype Taps ShoreTel for Enterprise Play (gigaom.com)

The recent announcement of Skype’s decision to drop its Skype Extras (marketing) program initially caused much anguish across the blogosphere; however, more sober commentary has been appearing in the past few days. To recall the announcement:

1. Immediately: No new partner programs or upgrades will be placed into the Skype Extras
2. Going forward: Skype Extras will remain available via the Skype for Windows client until their certification expires (which may be up to a year).

Alec Saunders whose developer program experience crosses many platforms, in What Next, Skype?, reviews the “swift and brutal” reaction around the blogosphere, puts a perspective on the characteristics of good ecosystem programs and then measures up where Skype stands today. He concludes with:

17 points out of a possible 30. Even so, the only real killer flaw in the Skype developer program is co-marketing.  Since Skype owns the customer, they are the only cost effective channel by which a developer reaches the customer.

Without addressing these flaws, especially the co-marketing issue, Skype’s developer ecosystem will die.  It may take time, but developers will leave and go elsewhere.

Skype knows all of this, however.  The smart money is on Skype developing a new program, and judging by the recent spate of announcements around Skype in business, and the beefed up Skype for Business team, it certainly looks as if they’re going that way. It’s no coincidence that that’s where the money is too. [Author’s italics]

In No Skype Extras Anymore, Scendix CTO Christoph Buenger, a veteran at developing applications for both the Skype and eBay ecosystems, outlines in a PamNews blog post  why their products are not impacted by the shutdown of Skype Extras:

So how does this affect Scendix/PamConsult products? The simple answer is: not very much.

He goes on to review how Pamela only uses the Skype API’s; how the new upgrade of PamFax to Version 2.0 made the product totally independent of the Skype Extras system (they were the only developer who had incorporated Skype Credits into a product but they also use other payment services) and their “standalone” version of Pamela Call Recorder. He concludes with:

We believe that some changes are always a good chance to make something much better than it was before. For us, this means finding more ways to market our software and the opportunity to change the pay-as-you-go payment process in PamFax will be a great step forward in making our products even better.

So: R.I.P. Skype Extras System. Let’s find something better out there!

In Skype Says Next Generation Platform Will Embrace Developers Michael Arrington reports on a couple of weekend conversations with Jonathan Christensen:

Christensen says that the Extras announcement is not about Skype backing away from a robust developer platform. Rather, he says, Skype is focusing on a next generation platform that will hopefully address the deficiencies of the old program and open many more opportunities for developers to build on Skype services.

They went on to discuss third party applications that can make Skype calls directly and future web applications “leveraging Skype as a service”. But there are two reasons Skype has to continue to run on a client today:

• Maintaining high quality calls via their current audio/video encoding
• Skype’s p2p architecture which not only impacts latency issues but is also the major cost factor allowing free Skype-to-Skype conversations.

Read the post to see why Michael feels we’’ll first see desktop applications integrate Skype as a service first and how “the real win is when you can initiate Skype voice and video calls via web applications”. He concludes with:

Anyway, we’re looking a ways into the future with all of this. But one thing seems clear – Skype, which is happily soon to be under new management, will someday open its doors widely to developers.

Bottom line: Support for Skype developer activities is not dead; it’s evolving. No software partner’s business has been significantly impacted by the closure of the Skype Extras [marketing] program. Lots of suggestions about how Skype developer support should be executed going forward but it’s probably going to be an evolution rather than a “revolution”.

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• “Skype Extras” Is Dead; Long Live the Skype API’s! (voiceontheweb.biz)
• Skype for Asterisk Release Marries Skype Calling into Popular Asterisk PBX Platform (voiceontheweb.biz)

On Friday the Skype Developer Blog posted a blog announcing the end of the Skype Extras program in what amounts to two stages:

1. Immediately: No new partner programs or upgrades will be placed into the Skype Extras
2. Going forward: Skype Extras will remain available via the Skype for Windows client until their certification expires (which may be up to a year).

Effectively, Skype has admitted that the Skype Extras program has not been a great success as a marketing tool. “Despite the incredible breadth of Extras developed for Skype, simply not enough people were using them to justify our continued support of the Extras programme.”

However, as indicated by a Skype Software Partner’s tweet above, Skype’s developer support will be continuing. Why?

In the same announcement, it was stated that the Skype Public API’s and their documentation remain available; more importantly, it was stated that “Skype will continue to support accessories via the Public API.”

But the uniformed media fallout has been attempting to put “doom and gloom” for Skype developer activities going forward. However, had Skype personnel worked with their PR agency who has been very adept at educating both mainstream media and bloggers with the background on Skype announcements, this “doom and gloom” cloud could have been avoided. (No press release was issued; so we have to assume Skype’s PR agency was not consulted.) Some of this “missing” information is in my recent post: “Skype Extras” Is Dead; Long Live the Skype API’s!.

Here are some of the myths that have resulted along with some of the facts that dispel them:

Myth: GigaOm: Skype kills its developer ecosystem: While it is true that “if you put your lot with Skype then you are on your own” for the marketing aspect of a software partner’s offering, the Skype API’s are not going away. And Skype is finally reviewing how it can work best with developers. Some considerations:

• Last fall, Skype announced the appointment of Daniel Berg as Chief Technology Officer. In the spring they announced the appointment of former Counterpath CTO Jason Fischl as Director of Developer Relations heading up the Skype Developer Program. Maybe their silence to date says something about their evaluation of the previous Skype developer activity and their need to take time to articulate an overall Skype platform within which the Skype SDK and Skype API’s will be playing a role. Most importantly, my network’s jungle drums say they are still very active within Skype.
• Check out this job opening for a Platform Release Manager that starts out with “You will be responsible for planning and releasing each new version of the Skype SDK used as part of the upcoming Platform strategy.”
• The Skype post itself ended with: “we still believe there are opportunities for third-party developers to enhance the Skype experience”.

As implied in the OnState tweet above, and confirmed by my own conversations with other Skype partners, we should be looking forward to new enhancements to the Skype Developer Program and the Skype SDK. But maybe Skype should have filled in media and bloggers with this information via their PR network instead of bluntly announcing the end of a support program with no offsetting information.

Myth: Skype is eating its software partners. Andy Abramson, VoIP Watch, Skype Shutting Down Extras Program: “Skype will begin offering more services that are labelled as Skype vs from third parties”. What this really should read  is:

Skype will begin offering more services expanding on its core “conversation” technology expertise and will be looking to third parties to complement their core services by incorporating Skype into offerings that leverage the individual partners’ unique expertise.

For instance:

• Skype for Asterisk (developed by Skype partner Digium) and Skype for SIP will be integrating Skype’s calling and presence functionality into “legacy” platforms as they evolve the Skype for Business program. Expect to hear more at Christopher Dean’s talk at Fall VON next week in Miami.
• As initially indentified by Phil, the Skype Jobs listings include some for a new “Skype Labs” location:
  

  Skype Labs is a new R&D center located in the Bay Area focused on next generation technologies for Skype which will be applicable over the next one to five years. The initial areas of work will include security, signaling and call control for audio, video and presence, p2p and collaboration.

• However, OnState brings decades of call center experience into their Call Center – an application for which Skype has neither the experience nor bandwidth to develop. (Full disclosure: the author is involved with a new small business that will be using OnState’s Call Center as a paying customer.)
• PamFax brings a simple five or six step process for sending faxes worldwide from any PC. Having followed the development of this service over the past two years, they have built a system that solves the basic faxing problem in a user friendly, yet highly secure, manner. Once again Skype has neither the expertise nor bandwidth to address this issue. (And Scendix, PamFax’s developer who was the only third party using Skype Credits to any extent, has already made plans for other payment services when they launched version 2.0 last spring).
• Looking at Skype Jobs, one finds the engineering jobs are focused on evolving Skype’s core functionality: video codecs, video QA engineer, audio components, director of mobile engineering, etc.
• The Product Manager – Applications job description includes responsibility for:
  • Extras like call recording and faxing. (Is Skype going to make an offer for veteran Skype software partner Scendix?)
  • Partner integrations with CRM, Security, Collaboration and similar applications (insert Call Center here).

Bottom line:

• Recent Skype successes include their High Quality Video (nobody has duplicated their ability to do VGA-standard video calling over standard broadband connections) and the SILK codec for higher quality Skype-to-Skype voice calling.
• Expect a multi-party video conferencing service, improved audio and video services and hardware (for instance, finding partners such as client In Store Solutions whose FREETALK Everyman headset addresses an identified end user issue with respect to call quality in a user-friendly way).
• Skype will continue to seek out partners, such as Scendix (Pamela and PamFax), Digium, Skylook (CRM), OnState and InnerPass (document management), who incorporate Skype into a range of business services where the partner has significant expertise that can complement Skype’s core conversation technologies via their API’s (both existing and future).
• Skype’s current Partners are seeing business success:
  • Unyte and VAPPS have been acquired by IBM’s Lotus Sametime Division and Citrix Online respectively
  • OnState is finding its Call Center offering stealthing into larger enterprises due to not only its feature set but also its cost saving
  • PamFax 2.0 has been a most successful launch; Pamela 4.6 was recently launched with video recording.
  • InnerPass has had over 1 million version 1.0 downloads since January. Watch this space for future announcements.
• Statements to the effect that “Skype is abandoning/axing its developer partners” are a myth; once more it’s a case of Skype’s managing their communications onto the blogger space. Memo to Skype: Work with your PR agency (who has done an excellent job over the past two years) and the complete message can get out.

Question: What should Skype really be doing for developer support programs going forward? A recent TechCrunch post by Michael Arrington, some of Andy’s other comments and some comments in Skype Journal’s Skype 5.x Public Chat (Phil’s rushing it – this was the Skype 4.x Public Chat until a week ago) provide some hints. A post will follow.

P.S. – Do you have communications technology and/or marketing experience? It seems like Skype is doing its part to stimulate the economy. Check out the Skype Job Vacancies page where, today, over 60 job openings are listed (some listings are actually for multiple hires).

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