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Author Topic:   eBay (EBAY)
KeithG
posted 03-24-2000 06:43 PM     Click Here to See the Profile for KeithG      Reply w/Quote
From what I hav read, I think that a merger is still a possibility, and both companies are staying quiet until a formal announcement is made. But, I think an alliance makes more sense than a merger as well -- some people seem to feel that this is a real response to the AOL Time-Warner deal. While Yahoo would certainly grow and corner the auction market, I don't see any response to the content implications of the AOL deal.

JHirsch
posted 03-24-2000 06:27 PM     Click Here to See the Profile for JHirsch      Reply w/Quote
From what I read it didn't seem like a merger was even being discussed. A 'loose alliance'
Yahoo's overseas presence could help eBay in its move overseas.
I agree with mojo, a merger might not get the okay from the feds, but as I said above, I don't think that's what they are going for.
Yahoo has repeatedly said, even before these rumors surfaced, that it isn't looking to merge with anyone.

Jake

mojo
posted 03-24-2000 01:44 PM     Click Here to See the Profile for mojo      Reply w/Quote
I'm not so sure the deal would meet the approval of the feds. eBay is the clear #1 in online auctions, Yahoo is the clear #2, and no one else is close. There could be antitrust issues.

newsman
posted 03-24-2000 11:48 AM     Click Here to See the Profile for newsman      Reply w/Quote
eBay and Yahoo are again considering a merger, according to today's Financial Times. An alliance is also possible if a merger isn't worked out.

Lee R
posted 03-20-2000 04:05 PM     Click Here to See the Profile for Lee R      Reply w/Quote
In B2C there are major advantages to being the one place where everyone can go to find everything, but in B2B the buyer/seller circles are smaller and more focused. So even if eBay is successful, I don't think it will wipe out the niche sites that focus on owning one specific industry or tightly knit group of companies, either through auctions or other pricing systems.

InvestorGuide Weekly
Administrator
posted 03-20-2000 12:01 PM     Click Here to See the Profile for InvestorGuide Weekly      Reply w/Quote
eBay is expanding into the red-hot business-to-business auctions market. (source: The Industry Standard)
http://www.thestandard.com/article/display/0,1151,12950,00.html

gatsby
posted 03-20-2000 10:47 AM     Click Here to See the Profile for gatsby      Reply w/Quote
btw, I was referring to buyers. I do understand that many people selling on eBay are small businesses from around the world. But I assume that most of the buyers are made up of consumers.

gatsby
posted 03-20-2000 10:46 AM     Click Here to See the Profile for gatsby      Reply w/Quote
That's a good point about the barriers to entry in the b2b auction world. Plus, most of eBay's clientele (if you refer to little Janey as 'clientele') is not made up of businesses. So it's not like they can easily draw from their current users for a new b2b auction site. They would be relying on track record and name factor alone, which is why any partnership would only help.

And by the way, private jets are consumer products as well.

mrcool
posted 03-17-2000 01:04 PM     Click Here to See the Profile for mrcool      Reply w/Quote
I'm surprised that eBay waited this long to get into B2B. It won't be as easy to conquer B2B auctions as it was for B2C, because there's already a lot of competition in B2B auctions, whereas eBay had no competition at all in the beginning.

lockin
posted 03-16-2000 05:44 PM     Click Here to See the Profile for lockin      Reply w/Quote
> What's the need for an alliance if yahoo has a faster growing user base and is going to pass eBay soon?
The type of alliance that might make sense would be for eBay to pay Yahoo in exchange for Yahoo's massive audience. eBay has such an arrangement with AOL (which may have been part of the problem with this alliance).

> As far as B2B auctions, its a better business model in the end I think because of the size of the market.
And also because the average selling price is much higher, so the margins are better. eBay is probably getting tired of making 3% on the sale of a Beanie Baby and would rather make 3% on the sale of a private jet.

JHirsch
posted 03-16-2000 02:03 PM     Click Here to See the Profile for JHirsch      Reply w/Quote
trentr and heister:
The problem is that when it comes to the internet especially, once people have gotten used to getting something for free, they'll expect to continue getting it for free.

lockin:
What's the need for an alliance if yahoo has a faster growing user base and is going to pass eBay soon? I certainly don't see a merger being good so its no suprise that they cut off talks.

daffy:
As far as B2B auctions, its a better business model in the end I think because of the size of the market, but then again its not eBay's market. Its a good idea to get into since they already have such a positive brand name in the overall auction space. It might not be too hard to shift it too b2b as well.

daffy
posted 03-16-2000 12:56 PM     Click Here to See the Profile for daffy      Reply w/Quote
Any opinions on eBay's announcement that they're getting into B2B auctions?

lockin
posted 03-16-2000 11:46 AM     Click Here to See the Profile for lockin      Reply w/Quote
An alliance wouldn't have surprised me at all, but a merger would. Yahoo doesn't need eBay... Yahoo has been growing its auctions faster than eBay and will probably catch them eventually (mostly because Yahoo's is free for sellers).

InvestorGuide Daily
Administrator
posted 03-15-2000 06:26 PM     Click Here to See the Profile for InvestorGuide Daily      Reply w/Quote
Talks between Yahoo and eBay have ended, according to a published report. Speculation first surfaced the two online firms had reportedly beem discussing either a merger or alliance that would dramatically expand their customer bases. Both stocks posted significant losses on the day. (source: CNNfn)
http://cnnfn.com/2000/03/15/technology/yahoo_ebay/

trentr
posted 03-15-2000 05:58 PM     Click Here to See the Profile for trentr      Reply w/Quote
Here's something I read in the Associated Press story about this: "Research has found consumers are clamoring for such services as they increasingly conduct business and personal transactions on the Web. Consumers also appear willing to pay a reasonable fee for such convenience, offering the potential for huge profits to the company or companies that capture the market."
That certainly serves to back up most of what heister said. I tend to agree that this could be a big shift in how people use the internet.

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