Skype’s chief operating officer Scott Durchslag, had already said earlier this year that it's working on an application for the iPhone and would be soon available from the Apple’s Store. He said, "We have to make sure the call quality is there and the application works really well before we can announce the software for any device, But we will have something for the iPhone as soon as it's perfect."

Skype has 450 million registered users worldwide and launching an application for iPhone which has become immensely popular is sure to boost its business. By putting the peer-to-peer service, which uses the Internet to carry voice traffic, onto a mobile phone, it becomes very convenient to use. The Skype service till now is limited to a desktop application requiring a mic or a special phone, and as an application for the Windows mobile and some models of Nokia. Skype worked with iSkoot to develop a special Skype phone that is sold by some of the cell phone operators. Skype has gained much popularity and an upsurge in its business because of low-cost internation calls anywhere in the world.

Before iPhone users get too much excited about the Skype application for iPhone, there's probably a big catch. The new Skype app for the iPhone will likely be restricted to Wi-Fi networks only, as Apple has done to other third-party services like Fring, which offers access to Skype. In this case, the application won’t get much popular as they will need to find a Wi-Fi friendly area for using.