If you have suddenly been blighted with the above error when you try to log in to Skype then the solution could be quick and simple…
Someone at the skype forum posted a solution:Code:mac HD/Applications/Skype.app/Contents/Info.plist
And edit all occurences of the Skype version (CFBundleShortVersionString and CFBundleVersion) to 126.96.36.1994.
I tested this hack with Skype version 2.xx and it worked like a charm.
No /etc/hosts trick required, and it did not work, either.