Cast your memory back to 2002 when eBay bought PayPal. Everyone was shocked and didn’t see it. However, back then many of the technology companies were buying or looking to buy other common and companies they did business with and why not? If they could take all the money, and just not some, and had the money to buy out the other company who wouldn’t do that? And so off they went into a happy marriage.
Now, after being the happy couple, they are separated and due to divorce in 2015. Why now many people have asked or wondered. If you take a look at what’s been done in since this marriage happened – especially within the last months – you could see it coming.
The most recent things being PayPal President left and went to Facebook. If there’s no one to keep the ship moving forward or a plan, then why keep it?
Apple pay & Google Wallet coming into more mainstream use. Apple pay is due to start soon and Google Wallet has been out there for a tiny bit (update in July 2014). Google Wallet has hit some problems since it was updated apparently (from the reviews I’ve read) and people are having problems. Apple Pay could affect what PayPal’s stocks do but will it be better – or worse?
Brands are now going away from what they were doing – buying companies they are doing business with – and sometimes separating the brands will help the shares as a majority of shareholders either don’t understand or don’t want any part of the whole and like only tiny bites. This could be true as when the rumour hit these two businesses were going to split, eBay stock rose, so it could be what was keeping the company back.
Possible sell off one of the businesses? This is always a possibility. I remember in my business life when the directors start mentioning changing things or looking at things differently within the business, I started to think something’s going on – and what the result was them selling off a chunk of the company. Could this be what’s going on and what is going to happen in late 2015 or 2016?
Why wait for discussing this here
Many new outlets discussed this. Here are some:
- The five reasons behind PayPal’s split from eBay
- eBay And PayPal To Split Into Two Separate Companies
- eBay to spin-off PayPal
- eBay announces plan to part with PayPal in 2015 to remain competitive
- EBay spinning off PayPal as separate company
I waited to see what other news would appear and its been very quiet. *insert crickets sound here* To me, it feels like something is bubbling away and it’s getting ready to explode.