Network Computing is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Has eBay Been Suckered?

eBay made a bad bet in buying VoIP company Skype for an astonishing $2.6 billion -- and maybe as much as $4.1 billion, depending on whether performance goals can be hit.
Not bad for a company that gives away its software.
Sure, the free Skype software is very nice. But it's not up to $41. billion nice, especially considering that the competition for consumer-level VoIP is brutal. Vonage, telecom companies, cable companies...they're all chasing the same dollars.
If I owned eBay stock, I'd be selling today. They made a bid on an auction and got suckered.