Overview

eBay is an American multinational online marketplace headquartered in San Jose, California. Its platform connects individual consumers, professional merchants, brands, governments, and other organizations with buyers in international markets. Transactions take place primarily through two formats: competitive auctions and fixed-price purchases through the “Buy It Now” model. The company generally earns revenue from seller fees, transaction-related services, advertising, payments and other marketplace services rather than by owning most of the merchandise listed on its platform. The service began as AuctionWeb on September 3, 1995, when programmer Pierre Omidyar created an online auction site as a personal project. The first reported transaction was a broken laser pointer sold for $14.83. Strong traffic quickly transformed the project into a business. In 1997 the service adopted the eBay name, obtained venture financing, and benefited from the growth of online collecting, including the highly visible market for Beanie Babies. Meg Whitman became president and chief executive officer in 1998, helping develop eBay into a large consumer internet company. The company went public on Nasdaq in September 1998. During the 2000s it expanded through acquisitions and international launches. Important transactions included Half.com, iBazar, EachNet, PayPal, Skype, StubHub, Rent.com, GSI Commerce and classified-advertising businesses. PayPal became a major part of eBay’s transaction infrastructure, but eBay later separated the payments company into an independent public company in 2015. Skype was also divested after eBay concluded that it had not integrated sufficiently with the marketplace. eBay’s business covers a broad assortment of legal goods, subject to its policies and restricted-item rules. Major categories include electronics, apparel, footwear, home goods, automotive parts and vehicles, collectibles, toys, trading cards, watches, jewelry, refurbished products, industrial supplies and replacement parts. The company has increasingly emphasized authenticated, refurbished and specialized inventory, seeking to make the platform more trusted and differentiated than a general classifieds service. A central feature of eBay is its reputation system. Buyers and sellers can rate one another after transactions, creating marketplace feedback intended to reduce uncertainty between parties who may not know each other. The platform also provides search, listing, advertising, shipping, returns, dispute-resolution, seller analytics, mobile applications, developer APIs and affiliate services. Professional sellers can use integration and inventory tools to operate at larger scale, while consumers can list individual items. The company has faced substantial competitive and strategic challenges. Its attempt to build a major position in China through EachNet lost ground to Alibaba’s Taobao, and eBay exited its Chinese site in 2007. It has also contended with Amazon and regional marketplaces, specialist platforms, social commerce, counterfeit goods, fraud, regulatory scrutiny and changing consumer expectations around delivery and returns. eBay has responded by investing in structured data, mobile commerce, advertising, seller services, payments technology, authentication and category-focused experiences. As of 2023, eBay reported approximately 132 million annual active buyers and about $73 billion in gross merchandise volume, with the United States accounting for approximately 48% of transaction volume. These figures describe marketplace activity rather than eBay’s revenue. The company remains an independent, publicly traded marketplace focused on enabling commerce among buyers and sellers rather than operating primarily as a conventional first-party retailer.

History

eBay was founded in California on September 3, 1995, by Pierre Omidyar under the name AuctionWeb. The early site allowed users to list objects for auction and built trust through user feedback. Its first reported sale, a broken laser pointer, became part of the company’s founding mythology. Traffic grew rapidly, and the project moved from a hobby site to a commercial operation after the service provider required a business account. Jeffrey Skoll became the first president in 1996. The company broadened its categories and experimented with travel-related auctions. In 1997 AuctionWeb was renamed eBay, based on the name of Omidyar’s consulting business, and Benchmark supplied venture capital. Collectibles, particularly Beanie Babies, helped attract public attention and demonstrated the power of a searchable, networked marketplace. Meg Whitman became president and CEO in 1998. Later that year eBay completed its Nasdaq initial public offering. The company expanded internationally and acquired online auction businesses, including Half.com and iBazar. It entered Asian markets through acquisitions such as EachNet in China and NeoCom Technology in Taiwan, although several regional strategies later struggled against stronger local competitors. PayPal was acquired in 2002 and became deeply connected with eBay’s marketplace. The company also pursued adjacent businesses, including classifieds, online advertising, ticket resale, rentals, merchant software and communications. Its acquisition of Skype in 2005 proved difficult to integrate, and eBay eventually sold most of its stake before Microsoft acquired Skype outright. eBay acquired StubHub in 2007 and GSI Commerce in 2011, expanding into ticketing and managed commerce services. China became one of eBay’s clearest strategic setbacks. EachNet initially gave eBay a strong position, but Alibaba’s Taobao developed a more locally adapted service, including features and commercial practices that appealed to Chinese users. eBay closed its Chinese site in 2007 and transferred control to a local venture. The episode highlighted the limits of applying a global platform model without sufficiently adapting pricing, technology, communication tools and marketplace behavior to local conditions. The company experienced governance and legal disputes during the 2000s and 2010s. It litigated with Craigslist over its minority stake and faced the eBay v. MercExchange patent case concerning the Buy It Now feature. It also settled litigation concerning employee non-solicitation agreements. In 2015 eBay completed the separation of PayPal, after which it concentrated more directly on marketplace operations. In the later 2010s and 2020s, eBay increasingly emphasized mobile purchasing, advertising, payments capabilities, managed seller services, structured product data, authentication and refurbished merchandise. It sold or separated several non-core businesses, including StubHub and classified assets, while maintaining specialist marketplace experiences such as eBay Motors and collectibles. The modern company serves both occasional sellers and professional merchants, competing through breadth of inventory, unique and used goods, global reach, auction functionality and category expertise. Its continuing challenges include fraud, counterfeit goods, delivery expectations, platform trust, competition from Amazon and regional marketplaces, and regulatory oversight.

2020
Jamie Iannone becomes CEO
[3]eBay Managementinvestors.ebayinc.com
Jamie Iannone returns to eBay as president and chief executive officer.
2015
PayPal separation
[1]eBayen.wikipedia.org
eBay completes the spin-off of PayPal as an independent public company.
2011
GSI Commerce acquisition
[1]eBayen.wikipedia.org
eBay acquires GSI Commerce, later operating it as eBay Enterprise.
2007
China marketplace exit
[1]eBayen.wikipedia.org
eBay closes its Chinese site after losing ground to Taobao.
2002
PayPal acquisition
[1]eBayen.wikipedia.org
eBay acquires PayPal and integrates it into its marketplace ecosystem.
1998
Initial public offering
[1]eBayen.wikipedia.org
eBay becomes publicly traded on Nasdaq.
1997
The service adopts the eBay name
[1]eBayen.wikipedia.org
AuctionWeb is renamed eBay and receives venture-capital backing.
1995
AuctionWeb is founded
[1]eBayen.wikipedia.org
Pierre Omidyar launches AuctionWeb in California as an online auction service.

Products and positioning

A global, selection-rich online marketplace combining auction discovery with fixed-price retail, specialist categories, and seller-to-buyer commerce.

Online marketplace · 1995
eBay Marketplace
The core marketplace enables individuals, businesses and organizations to list products for auction or fixed-price sale. It spans new, used, refurbished and collectible merchandise, with search, seller ratings, shipping, payments, returns and dispute-resolution features.
Fixed-price commerce
Buy It Now
Buy It Now allows a buyer to purchase a listing immediately at a seller-set price rather than wait for an auction to finish. It became a central format for ordinary retail inventory and professional sellers.
Online auctions · 1995
eBay Auctions
Auction listings allow buyers to compete during a defined bidding period. The format remains particularly relevant for collectibles, scarce goods, trading cards and other products for which demand and price are difficult to establish in advance.
Automotive marketplace
eBay Motors
eBay Motors focuses on vehicles, replacement parts, accessories and related automotive products. It serves both consumers and specialist merchants and uses category-specific listing and fitment information.
Refurbished goods
eBay Refurbished
eBay Refurbished organizes professionally refurbished products under defined condition standards and seller requirements. The offering is intended to improve confidence in pre-owned electronics and other refurbished merchandise.
Authentication service
Authenticity Guarantee
Authenticity Guarantee uses independent inspection for selected categories such as sneakers, watches, handbags, jewelry and trading cards. Eligible items are checked before reaching the buyer, addressing counterfeiting and trust concerns.

Controversies

2019
Cyberstalking and harassment case involving former employees
Former eBay employees were charged in 2020 after an alleged campaign targeting a Massachusetts couple who published a newsletter critical of the company. The incident led to criminal proceedings and corporate leadership consequences.
Source

Marketing campaigns

2012International shipping partnership
International
eBay partnered with Pitney Bowes to help sellers route international shipments through a domestic processing facility and partnered with FedEx on discounted shipping options.
Outcome. The initiative sought to simplify cross-border selling and reduce logistics friction.
Source
1997Beanie Babies marketplace expansion
United States
eBay benefited from the popularity of Beanie Babies by giving collectors a searchable venue for trading scarce toys that were difficult to find in physical retail stores.
Outcome. Collectibles became an important source of listings, traffic and public visibility.
Source

Brand decisions

2020
Increase emphasis on trust, category expertise and seller servicesStrategy
Background
The marketplace faced competition from large general retailers and specialist platforms, while buyers increasingly expected reliable condition information, authentication, delivery and returns.
Action taken
eBay expanded authentication, refurbished merchandise, structured product information, advertising and managed seller services.
Aftermath
The strategy aimed to differentiate eBay through unique inventory, specialist categories and improved transaction confidence.
Source
2015
Separate PayPal from eBayM&A
Background
eBay and PayPal had developed into businesses with different strategic priorities, and investors argued that separation could give each company greater focus.
Action taken
eBay completed the spin-off of PayPal into an independently traded company.
Aftermath
eBay concentrated on marketplace operations while PayPal operated as a separate payments company.
Source
2007
Withdraw from the Chinese consumer marketplaceStrategy
Background
eBay’s EachNet business lost ground to Alibaba’s Taobao, whose local features, pricing model and buyer-seller communication better matched Chinese marketplace behavior.
Action taken
eBay shut down its Chinese site and transferred control to a locally based venture.
Aftermath
The withdrawal became a prominent example of the difficulty of exporting a global marketplace model without extensive local adaptation.
Source

Recent events

2026.10.21
Reported2026.10.21
eBay announces global layoffs affecting about 1,100 employees[5]eBay宣布全球裁员约1100人zaobao.com.sg
eBay confirmed plans to cut about 9% of its workforce globally, affecting about 1,100 employees. The company said it would simplify operations and redirect resources toward its fastest-growing businesses.
2026.08.15
Reported2026.08.14
OUMURS launches Oumurs-361S dual-certified full-face motorcycle helmet[6]OUMURS推出Oumurs-361S双重认证全盔摩托车头盔pr.com
OUMURS Accessory Industrial Limited launched the Oumurs-361S, a full-face motorcycle helmet certified to both DOT FMVSS 218 and ECE 22.06, priced at $179.99 and available from August 15 through Oumurs.com, Amazon, TikTok Shop, and eBay.
2022.03.08
Reported2022.03.08
FreeCast launches SelectTV Streaming TV Kit through major retailers[7]FreeCast通过大型零售商推出SelectTV流媒体电视套装prnewswire.com
FreeCast launched its SelectTV Streaming TV Kit through major big-box and online retailers. The kit packages its online service with a TV antenna.
2022.02.24
eBay reports fourth-quarter and full-year 2021 results[8]eBay发布2021财年第四季度及全年业绩chinaz.com
eBay reported its fourth-quarter and full-year 2021 financial results, including fourth-quarter net revenue of $2.613 billion, up 5% year over year.
2021.09.08
Reported2021.09.08
eBay and TecAlliance China sign strategic partnership[9]eBay与泰案联中国签署战略合作协议prnasia.com
eBay and TecAlliance China signed a strategic cooperation agreement in Guangzhou on September 8, 2021, to support eBay automotive-parts sellers with data, supplier resources, and operational tools for overseas expansion.
2021.05.17
Reported2021.05.17
MediaCom and eBay sign on as 7Impact launch partners[10]MediaCom与eBay成为7Impact首发合作伙伴mumbrella.com.au
MediaCom and eBay signed on as launch partners for Seven West Media's 7Impact sponsorship platform.
2021.05.12
Reported2021.05.11
eBay announces plan for UK seller lending service[11]eBay宣布计划推出英国卖家贷款服务finance.sina.com.cn
eBay said it would announce the launch of its eBay Seller Capital program in the UK, initially working with online lender YouLend to offer loans to small and medium-sized businesses selling on eBay's UK platform. The article describes a planned announcement and does not establish that the service had launched.
2021.05.04
Reported2021.05.04
SFLMaven reports April 2021 sales[12]SFLMaven公布2021年4月销售额finanznachrichten.de
SFLMaven announced that its April 2021 eBay auction sales totaled more than $1.06 million across 1,105 products sold, a 27% increase sequentially.
2021.01.19
Reported2021.01.19
eBay announces managed payments service launch in Greater China[13]eBay宣布将于大中华区推出管理支付服务chinatimes.com
eBay announced that it would begin offering its managed payments service in Greater China in April 2021, with more payment options for buyers and simpler business management for sellers.
2020.07.21
Reported2020.07.21
Adevinta plans to acquire eBay’s classified-advertising business[14]Adevinta计划收购eBay分类广告业务finance.sina.com.cn
Adevinta was reported to be planning to acquire eBay’s classified-advertising business for nearly $9 billion in a cash-and-stock transaction.