cloud network hunting note: recently, eBay announced in 2015, eBay will grow soon split from eBay and PayPal department to make it public. The PlayPal from eBay split decision in the operation of the market for eBay is an extreme reversal. In February this year, eBay has temporarily withstand the strong from the extreme investor Carl icahn, he has been asked to split the two companies listed. Recently, Forbes on these change reporter interviewed eBay CEO John donoghue huo meeting opportunity. In the interview, he talked about why the board of directors decided to change their previous position, why they decided to do this now, and where he foresee the company’s development direction.
you have spent a large part of the time this year to resist Carl icahn asked to eBay and break up – why now want to break up?
we think in our own time frame and through our own under fixed process to do so. For the past seven years, we all walked the strategic planning process, and the program has also led to the decision now. This is not in any way any short-term impulsive behavior. It took us three to five years to analyze this payment situation, competition situation and the technical situation will change. We judge our choices and how we can finally to adjust the location of our company. The competitive environment change faster than ever, it created many exciting opportunities, and we believe that: as two independent company, we can be more competitive, more active and actively, make full use of these opportunities.
alibaba’s IPO and Pay Apple Apple Pay split listing for any impact on you?
we make this decision is before they both companies. Apple and pay treasure to just support us about change pace is accelerating.
in the coming year, how would you expect the company development?
in our eyes, PayPal is a bridge between ecology and payment industry in technology. Since acquired Braintree, we pushed through PayPal in technology innovation, and to solve the difficulties in pain points traditional payment industry. In a word, the existence of the PayPal purpose is to simplify the payment process, let the user is not consider the influence of site factors.
what do you think PayPal into traditional Banks in the core business of the fortress?
in Europe, we have a banking licence, and in 29 countries, we also have to pay license, but I’m not going to get a bank’s business license in the United States, because, I think the business license is not necessary for our policy.
what do you think of eBay or PayPal will be bought?
we are not going to put any a for the sale of our two companies. After break up, if you use the assessment now, you will have two very significant company, the two companies were worth more than $30 billion. We think that the two companies can be independent of the winner in the future.
this will change the eBay’s business strategy?
I wouldn’t call this is the direction of change, but more targeted and more transparent. EBay has strong profitability and cash flow, and you can take the cash flow portfolio investment to grow faster. Is the best thing about the split: it allows eBay to maintain its own profit, and investment into the fastest growing business, and can provide a closer funds transfer. This will allow eBay to control their own destiny, the synergy between eBay and PayPal will be used to maintain commercial contract.
I still want to ask, what makes you change position, break up the company?
we had solemnly promised to do the right thing for our company. Our company’s founder Pierre meters, owns 10% of the company’s shares, and is the chairman of the board, expect of us is: in the long run, to do the right thing for our company. As the company’s chief executive, I always stick to the promise, and Meg Whitman relentlessly before I did. From an outsider’s point of view, you don’t have to worry about other ideas for this – we just want the right thing, and that is the reason why we make this decision
you said, you will leave after the break-up, chief executive of the seat in this transaction is completed, the next step is to what?
John. Is Mr Doner: I think that Ryder team could help… I haven’t consider this question. I am 200% focused on this matter, and I will continue to be on the board. Before the arrival of this moment, I will not worry – by that time I was very busy.