Baking and cooking with skyr
Regardless of where you fall on the "is it yogurt or is it cheese" debate, let's talk about where and when you can use skyr. Personally, I have found that skyr works in any recipe where one might use greek yogurt or sour cream. For instance, I recently made some rolls which called for sour cream and used plain skyr instead. Worked great! One caveat is that in general, since there are less skyr options in the store than yogurt, it can be find to locate plain skyr: I was only able to find vanilla in most stores, so in terms of baking and cooking, that can limit where you might use it.
So...what is skyr?
Personally, I think that we can just nip the entire argument in the bud and call skyr, well...skyr. It's not yogurt and it's not cheese. It is its own thing entirely.
But I recognize that you might not be willing to take my word for it quite that easily. SO, I'll tell you how skyr is made and you can decide for yourself.
The basic process of making skyr
To make skyr, you start with milk and a skyr starter. In Iceland, apparently there are skyr starters that are centuries-old; if you wanted to make skyr in the USA, you could simply start by using a tablespoon of skyr from a package you purchased.
Then, you'll heat and cool the milk and skyr mixture, carefully monitoring the temperatures. You'll then let it cool. As it thickens, it will curdle and separate.
Once separated, you'll go ahead and strain the skyr; you can drink the wet whey as a probiotic type of drink or toss it, and save the skyr in the refrigerator.
If you want a full recipe, you can check out this website.
My final thoughts
Not to repeat myself (here I go repeating myself) but ultimately, I think that skyr has characteristics of both cheese and yogurt; in looking at the recipe, it's very similar to both recipes for making homemade yogurt and cheese.
So when it comes down to it, what differentiates skyr is the bacteria: a skyr starter is not yogurt nor is it cheese.
Which brings me back to my initial point: skyr is, well, skyr.
Have you ever tried skyr?