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Closing Off Open Source
Online - Medford
Subjects: United States; Internet services industry; Acquisitions & mergers
Author: Arnold, Stephen E
Date: Mar/Apr 2012
Start Page: 39
Pages: 4
Abstract (Document Summary)

Do not doubt that eBay ( is in the information business. Its sprawling ecommerce listings perch on top of petabytes of data and use state-of-the-art infrastructure to handle millions of operations each day. eBay's acquisition of Magento in August 2011 followed its obtaining a minority stake in the company in mid-2010. It views Magento as "supported by a global community of solution partners and third-party developers." What looked like an acquisition to eliminate the hassles of eBay's original payment solution is now one of eBay's key differentiators. In tough economic waters, the ability to charge and get paid becomes more important than some technical features. Online commerce has been a market segment that has yielded home runs and strikeouts. Make no mistake. eBay is a commercial enterprise. Since 2009, when PayPal opened its global payments platform to third-party developers, X.commerce was pulled into the gravitational field of a commercial enterprise. In the past 2

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