The goal when developing software is to solve problems for people, so yes, being good at communicating with people is key. (You also have to know how to develop software, of course, but we usually take that as a given, since we're talking about software development, after all :) )
I would also say, that it's a special kind of communication. At least the part when someone talks to the users/clients/stakeholders. You have to be able to understand them and help them tell you what they need to tell, but what most of the time they wouldn't be able to tell by themselves. Because they don't have the analytical skills and, of course, also don't know what you need to know because they don't know the internals of the software being worked on. Besides this, it's also a bit of educating them about the software development process.
I would also say, that it's a special kind of communication. At least the part when someone talks to the users/clients/stakeholders. You have to be able to understand them and help them tell you what they need to tell, but what most of the time they wouldn't be able to tell by themselves. Because they don't have the analytical skills and, of course, also don't know what you need to know because they don't know the internals of the software being worked on. Besides this, it's also a bit of educating them about the software development process.