Thursday, September 08, 2005

Speculation about the Skype Ebay deal

I have to agree with this guys assessment on the proposed buyout of Skype by Ebay. It looks like that business has nothing to do with getting to buy more things at an auction. They may be doing this:

"Offering eBay users a calling service could foster better communications between buyers and sellers, but there doesn't seem to be anything that could be considered more compelling to a Skype strategy, say analysts.

It shouldn't cost $2 to 3 billion just to make it easier for a buyer and seller to talk. Maybe adding some sort of chat service or client would do about the same thing. An Ebay branded Yahoo messenger like thing would do just fine.

Unless Ebay is still committed to become a brand of brands similar to Yahoo. They have already added a similar but slightly different offering to their core business when they bought Shopping.com. They also bought Paypal recently as well. Those two companies connected to their core business fairly well but Spype is quite a departure. It may be interesting to watch Ebay in the coming months. It seems they are in a developmental phase that could lead to a much different company in the future.

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