Even eBay has admitted that it paid too much when it bought Skype for $2.5 billion in 2005. (http://www.fiercevoip.com/story/will-ebay-auction-skype/2008-09-12) Don't get me wrong, Skype is a great and useful product. I use it at least once a week to call families internationally since mobile and land line international calls are just too expensive. But the idea eBay had behind Skype was that it would connect buyers and sellers easily -- and that's just not Skype's audience. It's people looking to connect with friends and family (and who knows who else), but at least from my point of view as a seller/buyer on eBay, I'm not interested in talking over the phone with other eBay users. Furthermore, eBay should really be focusing in on their own company, and not Skype, if they have to cut 10% of the workforce (16,000 jobs). (http://www.nytimes.com/2008/10/07/technology/07ebay.html?bl&ex=122361120...)
My reaction was the same as Travis'. Useful or not, they should sell it. eBay isn't eBay when they are acting as an online telephone company and chat service.
eBay is a great service; Skype is a great service. I use both - but I can't see that they have anything to do with each other. Unless eBay can develop a synergistic strategy, it should get rid of the distraction - unless their strategy is to become GE by making investments in a wide range of products/services (I don't think this is realistic).
In following he group, I agree that a) Skype is useful, although not the unique VoIP refinement it once was; b) there is very little synergy between eBay and Skype from a target,market,user,technology perspective; c) both companies are challenged, and should stick to core competencies; d) as for diversification, their investment in extensions to etailing (billing, etc) make sense - can they be the equivalent of a GE? Unlikely in this world. Enjoyed the opinions!
Ironic that this comes from someone at an advertising agency, but I've always appreciated the companies that do one thing and do it well rather than the diversified model. Sell it to a communications company that will continue to improve it and cultivate users so you can work on fixing the online auction experience.
If Skype is causing eBay to struggle, I'd say sell it if there's a buyer. Better to cut your losses than have a loser pull you down. On the other hand - I ask, "eBay, struggling? Since when?" If eBay is struggling, I doubt it's because of Skype.
eBay is an online marketplace it is going to find it difficult to grow if it keeps placing ads that takes users off its site to trade elsewhere with adword type ads. Skype is a great product but it doesn't encourage buyers to purchase through eBay if anything it encourages the opposite. Sellers can sell them directly once they have the sellers on the phone. eBay will just trn its site into a giant classifieds if it keeps going this way.
eBay needs to go maybe back to its roots and get people to work in the company that are real internet users and stop hiring ex-consultants that have no imagination .
Skype has worked out for me and my company in California. It's a great training resource for outgoing employees to stay in touch with their replacements for training, especially if they live long distance.
IF YOU ASK QUESTIONS, I'LL ANSWER, BUT MY ACTIVITY ON YOR WEB SITE WILL NOT BE A MINNIMAL, AS I'M ADVISING MANY PEOPLE ON MANY CONTINENTS HOW AND WHAT TO LOOK FOR, FOR THE 2ND. PART OF 3 ON GLOBAL WARMING AND AM ALSO IN THE PROCESS OF GIVING AWAY SOME OF MY SOLUTIONS OF DISASTERS WORLDWIDE. = MY URL: http://www.inventube.com/ooojay/blog/ HAVE A NICE DAY. MIKE
10 Total
October 14, 2008 at 11:13am by Rachel King
Even eBay has admitted that it paid too much when it bought Skype for $2.5 billion in 2005. (http://www.fiercevoip.com/story/will-ebay-auction-skype/2008-09-12) Don't get me wrong, Skype is a great and useful product. I use it at least once a week to call families internationally since mobile and land line international calls are just too expensive. But the idea eBay had behind Skype was that it would connect buyers and sellers easily -- and that's just not Skype's audience. It's people looking to connect with friends and family (and who knows who else), but at least from my point of view as a seller/buyer on eBay, I'm not interested in talking over the phone with other eBay users. Furthermore, eBay should really be focusing in on their own company, and not Skype, if they have to cut 10% of the workforce (16,000 jobs). (http://www.nytimes.com/2008/10/07/technology/07ebay.html?bl&ex=122361120...)
October 14, 2008 at 1:35pm by Travis Pickle
They own Skype?
October 14, 2008 at 1:57pm by Megan DaGata
My reaction was the same as Travis'. Useful or not, they should sell it. eBay isn't eBay when they are acting as an online telephone company and chat service.
October 14, 2008 at 3:47pm by Durwin Sharp
eBay is a great service; Skype is a great service. I use both - but I can't see that they have anything to do with each other. Unless eBay can develop a synergistic strategy, it should get rid of the distraction - unless their strategy is to become GE by making investments in a wide range of products/services (I don't think this is realistic).
October 15, 2008 at 5:28pm by Bruce McLaws
In following he group, I agree that a) Skype is useful, although not the unique VoIP refinement it once was; b) there is very little synergy between eBay and Skype from a target,market,user,technology perspective; c) both companies are challenged, and should stick to core competencies; d) as for diversification, their investment in extensions to etailing (billing, etc) make sense - can they be the equivalent of a GE? Unlikely in this world. Enjoyed the opinions!
October 20, 2008 at 9:47am by Jason Falls
Ironic that this comes from someone at an advertising agency, but I've always appreciated the companies that do one thing and do it well rather than the diversified model. Sell it to a communications company that will continue to improve it and cultivate users so you can work on fixing the online auction experience.
October 20, 2008 at 1:07pm by Carel Two-Eagle
If Skype is causing eBay to struggle, I'd say sell it if there's a buyer. Better to cut your losses than have a loser pull you down. On the other hand - I ask, "eBay, struggling? Since when?" If eBay is struggling, I doubt it's because of Skype.
October 20, 2008 at 5:25pm by Ronan Staff
eBay is an online marketplace it is going to find it difficult to grow if it keeps placing ads that takes users off its site to trade elsewhere with adword type ads. Skype is a great product but it doesn't encourage buyers to purchase through eBay if anything it encourages the opposite. Sellers can sell them directly once they have the sellers on the phone. eBay will just trn its site into a giant classifieds if it keeps going this way.
eBay needs to go maybe back to its roots and get people to work in the company that are real internet users and stop hiring ex-consultants that have no imagination .
October 21, 2008 at 6:20pm by Frank Acosta
Skype has worked out for me and my company in California. It's a great training resource for outgoing employees to stay in touch with their replacements for training, especially if they live long distance.
October 30, 2008 at 12:21am by MICHAEL SCHMITZ
IF YOU ASK QUESTIONS, I'LL ANSWER, BUT MY ACTIVITY ON YOR WEB SITE WILL NOT BE A MINNIMAL, AS I'M ADVISING MANY PEOPLE ON MANY CONTINENTS HOW AND WHAT TO LOOK FOR, FOR THE 2ND. PART OF 3 ON GLOBAL WARMING AND AM ALSO IN THE PROCESS OF GIVING AWAY SOME OF MY SOLUTIONS OF DISASTERS WORLDWIDE. = MY URL: http://www.inventube.com/ooojay/blog/ HAVE A NICE DAY. MIKE