Why is Skype banned from college campuses?

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I was surprised to read a few days ago that Skype is banned from a number of college campuses and that the number of campuses banning or considering a ban on eBay Inc.'s (NASDAQ: EBAY) Skype is growing.

According to a Skype spokesperson, students and faculty members rely on Skype for anything from group sessions, distant learning to simply making free calls. I tend to believe that to some extent. The magnitude of Skype use may not be as large as Skype claims, but it probably does facilitate life on campus to a certain degree.

So why would campuses ban Skype? The reasons cited are that the technology could potentially corrupt and crowd networks and that Skype protocols violate universities' network policies by forcing some users to become temporary transfer point for phone calls. Worse, though, is that Skype can give hackers a way to access universities' network servers.

While considering banning Skype, the use of other VoIP services is allowed. Why? That's because of the way Skype operates, which is dependent on the Internet network's owner. So Skype is at their mercy. Colleges could be worried about network protocols, but some countries that support telephone monopolies ban Internet-based calling altogether.

eBay and Skype are trying to talk to the campuses to find a way to accommodate everybody. In the meanwhile, it is good to know, as a user of Skype and as an investor, the limits and problems of Skype.

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Last updated: February 10, 2010: 05:05 AM

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