eBay: 'We Are Done Apologizing for Skype' - Page 2

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That's why the company sees it critical that Skype broaden its penetration into mobile devices and strike new partnerships with operators. Silverman said its service is already available for download to mobile phones on several platforms including Google Android, Java and Windows Mobile, the latter having had 12 million downloads by the end of 2008.

And citing the successful "Skype Phone" created with Hutchinson 3, Silverman said Skype will try to forge more partnerships with mobile carriers.

"The operator gets a higher profit margin on this phone," he said. "Even though there's a big Skype button there, they start to use the phone for Facebook, Google and then everything else because the engagement in the device goes up. If the customer wins, the entire ecosystem wins."

Already, the company's efforts are paying off: Silverman said that Nokia, the world's largest phone maker, just announced it will release a phone later this year that has Skype built into it.

Next on Silverman's agenda is tapping into the business market, starting with small ventures and eventually heading to enterprises. He said the company will build out a business channel that will include service and support that businesses will be willing to pay for.

Finally, he said the company will work to expand "Skype-certified devices," such as Webcams made by Logitech that are optimized for its software.

Global dominance for PayPal

Naturally, Skype's not the only area where eBay sees sweeping changes taking place.

Donahoe said the company plans to focus on growing its PayPal payment business internationally, with the goal being that "PayPal will be the online global payment network -- there will be no paper, no plastic, just PayPal."

PayPal president Scott Thompson backed up the claim by forecasting that the division will double total payment volume to between $100 billion and $120 billion by 2011. This will be done primarily by expanding market share overseas, which he slated would go from 58 percent now to between 73 percent and 78 percent by 2011.

Thompson also said the payment division will bolster its promotion of BillMeLater, and announced that later this year the online lay-a-way service will be fully integrated into the PayPal wallet system.

He said the company is uniquely positioned to become the leading online payment method because of its foothold in the industry, experience in fighting fraud and fact that it was built to bridge the Internet and the traditional financial networks.

"No other payment system is designed for the Internet from the ground up, PayPal bridges two worlds, the financial networks and the Internet," he said. "You can't 'Internet' your way into (online payments). Our model is unique."

He want on to say that the company has a "closed-loop" direct relationship with both the buyer and seller, which also sets it apart from the competition.

"Amazon doesn't have that; Google doesn't have that," he said. "Pay Pal is the only one who has this on the list of advantages."

Finally, Thompson said opening the PayPal platform up to developers this year and a boost in mobile PayPal technology would position the company's payment system for greater prominence.

eBay bids on the secondary market

On the e-commerce front, Lorrie Norrington, who heads the eBay marketplace division, said the company is increasing its focus on the "secondary market" -- liquidation and wholesale sellers who can benefit from transitioning their businesses to eBay.

Norrington reiterated several times that eBay is not a retailer, and that its model would win thanks to a heavy focus on the secondary market -- a comment that comes following criticism that the company had begun mimicking Amazon (NASDAQ: AMZN) to remain competitive.

In what some industry watchers had called the "Amazon-ification" of eBay, the company's marketplace had been shifting in focus from online auctions to more fixed-price sales, and recently opened up a new seller system called Large Merchant Services for high-volume catalog sellers.

But Norrington said there is a "global opportunity" in not just sticking to its roots, but by tapping into the liquidation, outlet and wholesale markets. In that industry, sellers face a volatile supply chain and need to move large amounts of product quickly while testing price points --- all of which are challenges in brick-and-mortar stores.

"By consolidating the process online, we can create a step in that supply chain," she said.