Alec Saunders SquawkBox

Meg Whitman has a nice post explaining what this means for EBay users, and encouraging them all to get Skype accounts.  She says:

Working together, eBay, PayPal and Skype will redefine online trade and community. I hope you’ll join us in this exciting new chapter in eBay’s history.

Over on Ebay’s Investor Site there is a whole list of Skype related material which they’ve posted as well. 

Andy Abramson has similar analysis as my last posting (plus a big Neener-neener!!!! to Om Malik :)) here. 

Mark Evans writes:

Here’s my initial take on why eBay made the deal. Part of it has to be defensive. It has become increasingly obvious the Web will be dominated by a handful of large companies (eBay, Google, Amazon, AOL, Microsoft and Yahoo and News Corp. if it keeps making acquisitions). The key consideration is traffic but in a different way from the dot-com days when attracting traffic was more about attracting VC or pumping up a stock price. Today, the strong growth of the advertising and e-commerce markets means traffic is big business. Skype brings more than 52 million registered users to eBay and 2 million paying customers. With this database, eBay can cross-sell its other services and, at the same time, generate new revenue from voice services as Skype moves into the mainstream.

I don’t think you can justify $2.6 billion for 52 million users, 2 million of whom are paying.  That’s $1300 per customer, so obviously Skype and EBay see a convergence of strategy.  Here are some potential areas they might see synergy:

• Skype as a presence engine is a potentially huge addition to the EBay model.  What if you could ask questions of the seller in real time?
• Skype with micro-payments adds the potential of real time auctions via IM or voice.
• Skype as an advertising vehicle (a la MSN / Yahoo) gives EBay a whole new revenue stream.
• Skype-In/Skype-Out as an arbitrage play is completely aligned with the EBay model.

What do you think?

It’s done!

Om Malik reported late last night that reporters have been told EBay will be hosting a 5 AM PST conference call to cover an announcement from two hours earlier. MarketWatch at 5 AM this morning posted a story with this quote from Meg Whitman:

eBay said the Skype service would be integrated into its ecommerce business, greasing the wheels of its online marketplace by making it easier for buyers and sellers to communicate. Meg Whitman, eBay’s chief executive officer, said that communications was "at the heart of ecommerce and community," and that the acquisition would create "an extraordinarily powerful environment for business on the net."

According to MarketWatch, the price is $2.6 billion (50/50 cash and shares) with $1.5 billion in additional performance related benefits as an "earn out" to Skype shareholders.

• The Times Online: EBay Buys Skype for $2.6 Billion
• Reuters: EBay to Buy Skype for $4.1 Billion

Look for more news around 8 AM when the con call happens.