This story is available exclusively on Business Insider Prime.When eBay spun off PayPal in 2015, the two companies entered into a five-year operating agreement, whereby PayPal would continue to process all of eBay's payments and was limited with how it could interact with some of the marketplace's biggest competitors.
eBay acquired PayPal in 2002, and spun it off in 2015. While the two companies have since operated separately, from eBay's perspective, not much changed. PayPal processed all of eBay's payments until 2018, when eBay started testing a small portion of its payments in-house, with processing partner Adyen.
"By having control of that, it gives us so much more flexibility in how we continue to enrich the buying and seller experience," she added. Processing payments will be a new revenue stream for eBay, which, like any payments company, will earn fees on each transaction.has been eBay's primary payments processing partner since 2018, offering the back-end processing tech. In addition to PayPal, credit, and debit cards, eBay will now offer Apple Pay and Google Pay, as well as bank-linked payments in relevant markets like Germany.
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