eBay may sell off Skype
Published April 18th, 2008
Bay Inc. said Thursday that it would consider selling its Skype telephone division if it fails to find ways to use the internet phone service to support its core e-commerce business, according to the company’s chief executive.
eBay will review Skype this year, and if Chief Executive John Donahoe determines the unit doesn’t help the auction and PayPal payment system, it will be reassessed and may be sold, EBay spokesman Jose Mallabo said.
The auctioneer bought Skype, which enables users to make calls over the Internet, for $2.6 billion in 2005 with the intent of using it to facilitate the sale and purchase of goods online. The company said last year that the phone service had not lived up to those expectations. In October, eBay wrote off $1.39 billion for Skype.
