Why eBay Is Buying Skype

Rob Hof

Here's my quick take, below, an edited version of which will appear in a few hours at businessweek.com. CEO Meg Whitman & Co. gave an impassioned rationale for the deal. I can certainly see that if Skype meets its ambitious goals, the deal could pay off eventually. It's also a heckuva lot of money for a nascent business, no matter what the growth and the promise--and one in an entirely new area in which eBay has no experience. No matter how you look at it, it's a whale of a bet.

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