eBay Lays Out 3-Year Growth Plan; Refocusing on PayPal
At a time when most companies aren’t willing to offer guidance on the March quarter, eBay (EBAY) is laying out its vision for 2011.
And what it sees is a big opportunity for PayPal.
In connection with the company’s analyst meeting today, eBay said its growth will be driven by its two core businesses: PayPal and e-commerce. In something of a repositioning, the company says that PayPal “has become a second core business,” with an opportunity to become even bigger than eBay Marketplaces.
CEO John Donahoe said in a statement that the company expects PayPal to become “the next leading online global payments network” and that PayPal is “one of the most exciting and high-potential opportunities anywhere online today.” That’s important, because the company isn’t really expecting to see any growth from the Marketplaces business, which has been shrinking in recent quarters.
Meanwhile, he said the company is “aggressively remaking and transforming” the Marketplaces business.