With our work at Kazaa, we began seeing growing broadband connections and more powerful computers and more streaming multimedia, and we saw that the traditional way of communicating by phone no longer made a lot of sense.

Surround yourself with smart, dedicated people - to build something isn't a one-man show. It's more important to have smart people who really believe in what you're doing than really experienced people who may not share your dream.

It's extremely hard to build a company with a product that everyone loves, is free and has no business model, and then to innovate a business model. I did that with Kazaa, had half a billion downloads but that wasn't a sustainable business.

If you could utilize the resources of the end users' computers, you could do things much more efficiently.

We have 2 million users in the U.S. and about 13 million worldwide in more than 200 countries. We're getting 80,000 new users each day. And more than half a million people are connected via Skype at any given moment.

They also can combine voice with instant messaging and online file sharing.

The Chinese market is very, very unique.