How does Skype work without port forwarding?

Skype works in a very interesting way. From what I’ve read (and this is a while ago) it works as follows:

  • Skype server maintains a list of all
    users and IPs.
  • Skype user A wants to
    speak to user B
  • Skype user A sends a
    network packet to user B’s IP address
    and waits for a response. (user B never gets this packet).
  • Skype user A notifies server of IP/port
    combination on which it is waiting
    for a response
  • Server notifies user B
    to send a response to user A on the
    specified port
  • A connection is made.

This is probably over simplified but last I checked, this is how it works. (Someone correct me if I’m wrong).

Edit: fixed bullet issue

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