Posted in: ebay, skype

Skype and eBay – I Guess the Price was Wrong

Almost two years ago to the day I penned a post about the eBay-Skype deal. I was pretty confused as to how it would work out in the end and whether the price being paid would ultimately reflect the value of Skype. Well, after reading this post it sounds like they were off, way off in fact. This CNet article has a summary of the gory details of the writedown/charge. I don’t think this means that Skype isn’t valuable (I believe it is) – it just means that it wasn’t worth what eBay paid to acquire it. Sometimes when you see a deal that’s a headscratcher, it’s just that – a deal that doesn’t quite make sense given the parties involved. Hopefully eBay can get back to the business of growing its core business instead of constantly fielding calls about the performance of the Skype unit.

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