After more than a decade together, eBay and PayPal have parted ways


We’ve known it was coming for a while now, but eBay and PayPal have finally parted ways after working together for more than a decade. PayPal is now trading as a completely independent company, which means eBay has lost the one part of itself that was actually considered successful… so what now? Well, hopefully eBay will be able to use to $923 million it got from the PayPal sale to make itself profitable again… somehow. 

On Friday, eBay and PayPal are splitting back into two separate companies. PayPal will begin trading on the Nasdaq under the ticker symbol PYPL, the same symbol it traded under before eBay bought it back in 2002. So what are eBay’s prospects now? According to this chart based on eBay’s earnings reports, compiled for Business Insider by Statista, they’re pretty grim. eBay’s payments business — PayPal — has been responsible for most of eBay’s revenue growth since 2012, and it has been responsible for nearly all its revenue growth this year. The values on this chart show the percentage of eBay’s annualized revenue growth that can be attributed to each segment. For example: In Q4 2014, eBay’s revenue grew by $396 million compared with Q4 2013. Of this $396 million, PayPal contributed $327 million, marketplaces contributed $33 million, and the enterprise division contributed $36 million. That means PayPal was responsible for 82% of eBay’s annualized revenue growth during this quarter, marketplaces for 8%, and enterprise for 9%.

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