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eBay drops PayPal as first choice for payments | eBay drops PayPal as first choice for payments |
(about 1 hour later) | |
EBay is to drop PayPal as its main payments processor in a move that it says will benefit sellers and buyers. | EBay is to drop PayPal as its main payments processor in a move that it says will benefit sellers and buyers. |
People buying items on eBay will be able to pay without leaving its website, and sellers will have lower processing costs, the online giant said in a blog post. | People buying items on eBay will be able to pay without leaving its website, and sellers will have lower processing costs, the online giant said in a blog post. |
EBay has signed an agreement with Dutch firm Adyen to process payments, but buyers will still be able to use PayPal on the site until at least 2023. | |
PayPal was spun off from eBay in 2015. | PayPal was spun off from eBay in 2015. |
Shares in PayPal were down 7% in pre-market trading in the US. | Shares in PayPal were down 7% in pre-market trading in the US. |
EBay said it wanted to complete the move as quickly as possible within the terms of its deal with PayPal. | |
The e-commerce company said that the operating agreement with PayPal "has not been extended and it will not be extended." | The e-commerce company said that the operating agreement with PayPal "has not been extended and it will not be extended." |
Amsterdam-based firm Adyen has a number of high-profile clients, including Uber, Netflix, and Easyjet. | Amsterdam-based firm Adyen has a number of high-profile clients, including Uber, Netflix, and Easyjet. |
The firm is growing quickly. In 2013, it processed $14bn-worth of transactions, but that figure had grown to $50bn in 2015. | The firm is growing quickly. In 2013, it processed $14bn-worth of transactions, but that figure had grown to $50bn in 2015. |
Bloomberg has reported that the company could list its shares on the stock market this year. | Bloomberg has reported that the company could list its shares on the stock market this year. |
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