* Analysis of eBay’s offer for Skype
We’ve often talked about how applications are driving convergence and how VoIP is a step along the road to integrating data applications into a unified communications portal. Apparently, eBay has been reading our newsletters about the importance of VoIP because last week eBay announced it would acquire Skype for $2.6 billion.
The deal includes up to another $1.5 billion for the acquisition, based on Skype’s future performance. Skype offers voice calls over the Internet, with free calling between PCs and off-net calls for a modest charge; the company has more than 54 million subscribers who use its VoIP software.
In a statement, eBay President and CEO Meg Whitman said, “Communications is at the heart of ecommerce and community. By combining the two leading ecommerce franchises, eBay and PayPal, with the leader in Internet voice communications, we will create an extraordinarily powerful environment for business on the Net.”
EBay claims that the acquisition “will strengthen eBay’s global marketplace and payments platform, while opening several new lines of business and creating significant new monetization opportunities for the company.”
Although we never claim to be financial analysts, we’re not quite sure eBay will ever recover its investment directly from Skype’s VoIP revenue (Skype will bring in an estimated $60 million in 2005 and $200 million in 2006).
However, the theoretical possibilities of bringing a Skype-modeled VoIP call or conference bridge (by using peer-to-peer VoIP) to online auctions and other e-commerce applications is certainly fascinating.
Of course, in addition to making the Skype’s founders and shareholders happy, the acquisition does bring a measurable endorsement of Skype’s technology and business model – with $2.6 billion worth of legitimacy.
