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Article

Title: EBay bid shows promise of VoIP

Author: Greene, Tim; Hochmuth, Phil; Pappalardo, Denise Article Type: Company
Source: Network World, v22 n37 p1(2) Publication Date: Sep 19, 2005
  ISSN: 0887-7661
URL of Publication: http://www.nwfusion.com

eBay, which has purchased Skype, is showing the potential of VoIP and related IP communications that other businesses and service providers might imitate. eBay will join forces with Skype to offer its customers ways to make transactions faster and to efficiently use Skype's VoIP abilities. Skype, a peer-to-peer (P2P) technology that also supports video, would allow eBay buyers and sellers to link directly. However, says a telecommunication consultant, eBay will not become a phone company but will instead use Skype technology to expand into new lines of business where buyers are more at ease purchasing and selling expensive items, such as cars and houses. It will be an add-on service that will help eBay expand its traditional online service. eBay customers will use Skype to create a more on the spot environment for doing business, says a Gartner executive, who also says customers will have enhanced ability to bargain over the cost of purchases. What business customers and providers really want before they buy is a vendor to show that voice can be done very well. Many companies also are not sure what the advantages of VoIP or even what it is. A spokesman for 3M says the company is aware that there is value in integration of voice, data, and video on one network in terms of management or carrier services, but has not seen evidence of an application that could change the way business is done and really add value.

Companies:
eBay Inc Skype Technologies SA

Products:
Internet Auctions

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