01-09-2007, 10:15 AM
Quote:When eBay Chief Executive Meg Whitman acquired Skype in fall 2005, she said, "by combining the two leading e-commerce franchises, eBay and PayPal, with [Skype], we will create an extraordinarily powerful environment for business on the Net." The deal, valued at $2.6 billion in cash and stock, plus an extra $1.5 billion in additional payments through 2009 if certain performance targets are met, set Wall Street tongues wagging.
Among the hoped-for gains: added business lines, new buyers and sellers to the auction site, and a jump-start for growth. But more than a year after the deal was struck, many analysts question whether eBay (EBAY) has done all it can to harness Skype and its technology. Some investors concur, as evidenced by the 20% decline in eBay's share price since September, 2005...
full article: http://www.businessweek.com/technology/c...exclusives