This is indeed interesting.
I've just checked two versions of Skype:
None of them work ("can't connect"). Is your Skype installation in Windows 98 new, or have you been using it for some time? I have a strange feeling that it may not work again if you reinstall and try to log in from scratch.
- Skype 22.214.171.124
- Skype 126.96.36.199
My installation is only about a month old, so it's not been that long. I could try it out on my Windows 98 laptop and see what happens with Skype. This whole deal is ridiculous because it's just a ploy to get everyone to upgrade. So many times companies that retire older software says that the newer stuff gives you 'a better experience'. I seldom see that as the truth, more times than not it's just a way to get people to buy new stuff.