eBay and Google recently settled their differences. Specifically, eBay was not happy with Google’s PayPal alternative Google Checkout. After all, eBay bought out PayPal for $1.5 billion in stock back in July 2002.
Two weeks ago, eBay decided to halt being a client of Google’s AdWords campaign but then decided to reenlist. However, eBay won’t be ordering as many ads as before. This is a blow to Google since eBay is one of their largest clients.
“At a recent conference for eBay merchants held in Boston, Google organized a rival party as part of a campaign to lure eBay users to its Checkout service, launched last year, which is attempting to topple PayPal’s monopoly on online payment,” wrote Jonathan Richards of Times Online UK.
eBay now plans on spreading advertising efforts by signing as a client with Google’s competitors, Microsoft and Yahoo! along with Google AdWords.
It is not yet known how much less eBay will spend on Google, but it will definitely put a dent on the $100 million in revenues that Google has supposedly made from eBay. eBay also previously had roughly 188 million ads positioned through Google AdWords.
