Seeking Alpha

PayPal chief leaves to become Facebook's messaging chief

  • David Marcus, EBAY's well-respected PayPal chief, is leaving to become the head of Facebook's (FB) messaging products.
  • Facebook claims 200M+ active users for its Messenger service, and recently took the drastic step (in the name of creating a better experience) of requiring mobile users to download a standalone Messenger app to use the service.
  • As with many other products, Facebook has been cautious with its efforts to monetize Messenger. Marcus' hiring could signal a strategy change.
  • Marcus won't be running WhatsApp. Facebook has promised WhatsApp will be run independently; co-founder Jan Koum is currently its CEO.
  • Marcus has been trying to change PayPal's once-cautious culture since becoming head of the online payments giant in 2012, as well as expand its mobile footprint and improve its customer service (often a target of criticism). He admitted earlier this year a culture clash has formed between PayPal and eBay as he pushed ahead with his changes.
  • The PayPal team will report to eBay CEO John Donahoe until Marcus' successor is named.
  • EBAY -2.2% AH. FB +0.4%.
Comments (6)
  • U2A Ventures
    , contributor
    Comments (233) | Send Message
     
    and expansion of Amazon Payments... hmmmm
    9 Jun 2014, 05:05 PM Reply Like
  • leopardtrader
    , contributor
    Comments (1519) | Send Message
     
    The faster John is fired the better for EBAY. He really doesnt get it
    9 Jun 2014, 05:18 PM Reply Like
  • Manitobatex
    , contributor
    Comments (795) | Send Message
     
    No....an expansion planned by Facebook in the payments dept.......another smooth move for the FUTURE....don't be fooled by the headlines.
    9 Jun 2014, 05:19 PM Reply Like
  • Seeker137
    , contributor
    Comments (345) | Send Message
     
    @Manitobatex, reading between the lines with Donahoe's recent BitCoin remarks, one wonders if Marcus' new replacement at PayPal will be someone from Bitcoin or someone familiar with initiating a BitCoin integration into PayPal...all of it smacks of insider corporate COLLUSION. Donahoe should long ago have resigned from eBay before his rampage of destruction comes to complete fruition.
    9 Jun 2014, 05:42 PM Reply Like
  • tiger8896
    , contributor
    Comments (640) | Send Message
     
    A rat deserting a sinking ship. If you were wondering why with the market hitting new 52 week highs EBay was near 52 week lows you don't have to wonder any longer.

     

    Lot's of competitive headwinds in the payment space and in their core marketplace business. I would not own the stock.
    9 Jun 2014, 07:17 PM Reply Like
  • Michael Eisenberg
    , contributor
    Comments (279) | Send Message
     
    Facebook just hit the jackpot. David Marcus is a great exec.
    9 Jun 2014, 11:35 PM Reply Like
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