Tagged: skype

Ebay getting rid of Skype? Selling to Google?

Skype was bought by ebay nearly 3 years ago but has since then failed to implement a real advantage within ebay’s core. Ebay saw Skype as a daily function for users to manage customer contacts, answering questions and pre and post sale concerns. However, sellers and buyers have failed to take advantage of this feature within their listings.

CEo John Donahue said to the Financial Times

“What we’re testing this year are the synergies,” Mr Donahoe told the Financial Times this week after Ebay reported its latest earnings. “If the synergies are strong, we’ll keep it in our portfolio. If not, we’ll reassess it.” That could lead to the disposal of the business, he indicated.

This news comes after Skype reported strong Q1 revenue up to $162 million dollars, a 61% increase from the previous year. This year it’s expected Skype will generate $500 million and be profitable. This may lead ebay to sell the VoIP company with the hopes of having a money making buyout. Rumor talks point to Google.com, who would more likely be able to find a better use for it’s services if Ebay users do not hop on the waggon in the next 8 months.

We do not comment on market rumor or speculation regarding acquisitions, Generally speaking we are constantly in discussions about potential partnerships in cases that will be mutually beneficial for users, advertisers, and publishers. – Spokesman for Google

The reasons for the service not being a match on ebay are numerous. Sellers contribute that software advances in auto-answering services and advanced platforms to handle customer service management leave little need for the service. Also many larger sellers that previously used the platform have choosen to host toll free phone lines with other VoIP companies. Every buyer or seller has a phone number when they need to get in touch, but not everyone has a Skype account loaded with cash.