A Wall Street Journal article reports that eBay is in talks with both Yahoo and Microsoft to see which one (or possibly both) is a “worthy ally” to compete against the all-mighty Google. Currently eBay spends a ton on Google AdWords, pretty much any search you do on Google, you get an ad for eBay in the sponsored results. Google also is a heavy indexer of eBay content in the organic results. This all leads to tons of referrals to eBay’s content from Google. The issue is, Google is now competing with eBay on several fronts, including a PayPal alternative, online auction service and Google’s other services such as Froogle and Base together lead to a huge competing e-commerce portal. Hence the need for eBay to make some changes in the future. The article at the WSJ has a nice write up with the details here.
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