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EBay2Skype: Talk2PayPal!

As she did at the company's meeting with analysts last month, Whitman gave highlights of how she sees eBay, PayPal and Skype expanding beyond their original roots.

Her plans for Skype may be the most ambitious, since the online calling service today earns little revenue despite the fact that more than 100 million people have downloaded its software and registered to use it.

"Skype's vision is to enable the world's conversations in a very broad way," said Whitman, adding that eventually Skype will be providing not only voicemail and talking services, but data services, text-messaging, instant-messaging, mobile payments and advertising.

In the first quarter of this year, Skype users spent 6.9 billion minutes chatting over the Internet-based calling system. And Skype already accounts for seven percent of all long-distance calling, said Whitman.

Today, most of Skype's revenue comes from SkypeOut, a service that allows users to place calls from their computers to regular phones. But in the future, it will make money from various forms of ecommerce, content and community, Whitman said.

Integrating Skype and PayPal to let Internet phone users make quick payments through PayPal is one obvious synergy. Another may lie in mobile payments--PayPal recently launched a mobile payment system allowing people to make payments on cell phones by sending text messages.

"While Skype is not profitable today, it should be by the fourth quarter," Whitman said.

By Leslie Walker  |  June 13, 2006; 2:39 PM ET  | Category:  EBay Live , Leslie Walker
Previous: Ebay Takes Page from Google's Book | Next: EBay + Skype + PayPal = ??

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