3. AuctionWeb was founded in San Jose, California, on September 5,
1995, by French-born Iranian-American computer programmer
eBay Inc. provides online platforms, tools, and services to help
individuals and merchants in online and mobile commerce and
payments in the United States and internationally
A multi-billion dollar business with operations localized in over thirty
countries
On April 18, 2012 eBay reported a 29% Q1 revenue increase to $3.3
billion compared to their Q1 in 2011. Net income was reported to be at
$570 million for the quarter
4. In November 1996, eBay entered into its first third-party licensing
deal, with a company called Electronic Travel Auction to use
SmartMarket Technology to sell plane tickets and other travel
products.
The company officially changed the name of its service from
AuctionWeb to eBay in September 1997.
In February 2002, the company purchased IBazar, a similar
European auction web site founded in 1993 and then
bought PayPal on October 14, 2002.
By early 2008, the company had expanded worldwide, counted
hundreds of millions of registered users, 15,000+ employees and
revenues of almost $7.7 billion
5. PayPal enables any business or consumer with an email address to
securely, conveniently, and cost-effectively send and receive
payments online.
It builds on the existing financial infrastructure of bank accounts and
credit cards to create a global, real-time payment solution.
It delivers a product ideally suited for small businesses, online
merchants, individuals and others currently underserved by
traditional payment mechanisms.
6. 1998: Peter Thiel and Max Levchin found Field Link, soon
renamed Confinity.
1999: Confinity launches first version of the PayPal
electronic payments system.
2000: Confinity is acquired by X.com Corporation.
2001: X.com makes initial offering of stock on NASDAQ;
firm is renamed PayPal Inc.
2002: eBay Inc. acquires PayPal for $1.5 billion in stock
7. Competitive Landscape: eBay was in talks to make Billpoint (a credit card
processing service) free to all eBay auctioneers.
Billpoint had small market,but this subsidy would have undercut PayPal in its
core market at a point when the company had not yet broadly diversified
outside of auctions.
Mutual Dependence with eBay: At the time of the sale, 70% of all eBay
auctions accepted PayPal payments, and roughly 1 in 4 closed auction
listings were transacted using the payment service.
Regulatory Risk: The company had to apply for money transmitter licenses
on a state-by-state basis once the FDIC established that it was not a bank
Regulators, such as NY Attorney General Eliot Spitzer, sought to challenge
the company’s business practices.
8. PayPal is a diversified business that generated only 33% of its
revenue from sales in eBay’s marketplace
It’s accepted as a payment method with gigantic merchants such as
Home Depot and Dell.
The company is also on sure legal footing.
A decade ago, over two-thirds of its revenue came from eBay
auctions.
A decade ago, there were still lingering questions as to whether
some regulatory body would try to shut it down
9.
10.
11.
12.
13. eBay’s core business getting tough fight
PayPal's revenues have grown at about 25% over the
past two year and experts expect it to continue growing
at similar rates in the near term.
PayPal contributed $1.37 billion in sales, or just over
40% of all of eBay Inc’s net revenue
PayPal constitutes 46% of the price estimate for eBay's
stock.
Merchant services contributes about 65% of PayPal’s
Total Payment Volume
Some notable customers include Barnes &
Noble, Dell, and NorthWest Airlines
14. Full time employees : 30,000
Market Capitalization : $68.80 billion
Profit Margin for year 2012: 18.54%
Revenue in year 2011-2012: $14.07 billion
Operating Cash Flow: $ 3.84 billion
15. First and foremost, a small legion of great entrepreneurs
dubbed the “PayPal Mafia” arose from PayPal’s ranks.
Companies started by alumni include LinkedIn (Reid
Hoffman)
YouTube (Chad Hurley, Steve Chen, and Jawed Karim)
Yammer (David Sacks),
Tesla (Elon Musk)
Yelp (Jeremy Stoppelman and Russel Simmons)
16. Mig 21,
F/A 18 hornet
coelopleurus exquisitus- A new species
