Monday, November 05, 2007

Breaking Up Is Easy To Do!

IAC (Interactive Corp) announced today that they would be breaking up the company into 5 separate publicly traded businesses. IAC is the parent company of HSN (Home Shopping Network), Ticketmaster, and numerous other web properties. The investment community looks like they like this move. Here are the details.

I normally don't write about IAC but thought this latest move was very interesting and might be an option that eBay chooses in the not-too-distant future. There has been talk of a PayPal spin-off and most sellers think Skype should be a separate business anyway.

Could eBay Spin-off the "Power of Three" in the near future? Let me know what you think? Skype makes sense as a stand alone company and so does PayPal which would leave eBay to concentrate of becoming the Web's complete shopping destination.

I think it would be a smart move.

UPDATE: I guess somebody else thinks its a good idea also. The Wall Street Journal has a post about breaking up eBay.

1 comment:

ONLYEBAY said...

Very interesting catch. Obviously it is easier for IACI to do this given the various spin-offs don't really trade with one another.

For EBAY Marketplaces / PayPal, it is less obvious. Despite this, I think PayPal is very near independent enough to be spin-off-able. But I'm thinking second half of 2008.