Google Will Probably Buy Ebay. Why? Skype Mostly.

[Update: Microsoft bought Skype from Ebay on May 10, 2011.]

Crunch Gear recently reported on Ebay‘s recent quarterly loss due to the purchase of Skype.  Ebay also owns Paypal, a strong competitor to Google Checkout.  Ebay is also a big search company.  Google could only improve on that.  Google wants to get into the phone industry with their new gPhone.  Skype will probably run on the gPhone as Skype is already part of the Google Pack.  Aquiring Ebay would net Google Paypal to replace or add to Google Checkout.  It would also give it control of the worldwide phone company, Skype for its cell phone.  Whats one reason why they may not?  Ebay is a major advertiser with Google.  Google and Ebay had a high profile fight back in June 2007.  It showed that Google was vunerable to advertising pull-out.  Advertising is still a primary part of Google’s business.  It could be assumed though, that if Ebay is making money, then Google could make more money by owning Ebay.  If Google is going to do it, they are going to need to do it before Microsoft does.

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