John,it is possible that it will never be recitified,as Skype is moving onwards & upwards.If you want an earlier version of Skype,ie v1.xxx,
try www freewarelovers . com / android / apps /skype old_versions .[ Not able to post direct links here.]Go to bottom of page & it shows all old versions.
If you search this link on your phone,you can download whichever version you want direct.
I have tested the Wildfire S using both 3G and Wifi and skype is indeed very choppy and unusable with the mic and speaker. However, I have also used skype on my HTC Sensation and that works great, so it could suggest the issue is due to the CPU speed on HTC. That said, like a previous post mentioned, skype worked perfectly on my old Nokia N95 which ran at 330 MHz! So, it works on the Sensation, but not the Wildfire S and it also works on a 330MHz Nokia. I can only conclude that it is a Wildfore S issue and not all HTC, albeit a CPU, Proximity Sensor or 'other' issue.
I bought a Wildfire S yesterday and the main reason for the purchase was to be able to keep in touch with my Son, who's emigrated to Australia, via Skype. I installed Skype from the Android Market and, like so many, found the audio so chopped as to be unusable. I was horrified. However, following martin-redman's suggestion, I went to www DOT freewarelovers DOT com/android/app/skype and downloaded version 220.127.116.114 from the list of older versions. I've just made a test call to echo123 and the audio is as clear as a bell with that version of Skype.
My thanks to Martin, and I hope this helps.
Cheers for the mention Pajaholic,i'm very pleased that it worked for you,but alas for me & my Wildfire [ not S ] i still have not found anything to get Skype to work successfuly.
Still,if i can help others,it's all worth it.
I bought the fone couple of days back, same problem !! But I din't reinstall the app or anything, I just use my 'Handsfree' during the skype calls, It works Perfect !! Yeah but the sound, without the Accessory is simply Impossible !! Worked for me, All the best !!