Name: Tech Debate Ebay
Uploaded: 2014-10-03
Duration: 2 min 1 s
Description: Tech Debate Ebay

[ MUSIC ] Ebay recently announced that it will spin off PayPal into a separate publicly traded company and can it survive in this crowded mobile payments market place ?>> You know, I don't know, but I really hope so .>> You do? I really hope that mobile payment, easy mobile payments, are gonna happen because I never carry cash, going to the ATM it just feels like an anachronism. Carrying cash feels like an anachronism. I don't know how you get on, I have to have these greenbacks in my wallet so I can pay the hot dog guy, so I can pay this but. But, never the less, you're right, this is the future, this is clearly the way we're going. I want the hot dog guy to have PayPal, to accept PayPal. The problem is, this is really crowded marketplace for PayPal. Yeah. So they're about to go it on their own, split off from their number one customer. Mhm. And you've got all these really major tech companies in there, you've got Google with Wallet, you've got Square Yeah. You've got Amazon with payments ,. And you can't forget the 800- pound gorilla in the room, Apple. Apple just announced it's Apple Pay with the new iPhones. You take your iPhone, you put it up to the point of sale, boo, payment's taken care of. How can PayPal deal with such a big competitor? You know that's a really question and Apple is interesting because it, it goes through the credit card companies .>> Right >> And a credit card companies are taking a cut and their taking a bigger cut than Pay Pal's gonna take >> Really >> so Pay Pal's margin is actually quite a bit smaller which is great for me because I pay less and it's great for the merchants because their gonna pay less .>> Right, right >> Which is additionally for me because the merchants are more likely to. To take, to take it. That's true. You never get that guy that says, you know, credit card minimum, right? Exactly, exactly. So the thing I'm wondering is, is, we've been talking this whole time mostly about PayPal. What about Ebay, right? So you've got these two companies separating, you've got PayPal, which is focused on the transaction, and now you've got Ebay, that's basically just commerce. Just like an Amazon, but can they really go up against that kind of competition? That's a really good question. Amazon, Alibaba, there's, there's a lot of people in that space. EBay is likely to have kind of a tough time. If nothing more they'll be able to pursue their own strategies. True. For one show that always takes cash or credit, come to Fortune. com for more Tech Debate