One of the tech industry’s most storied partnerships is coming to an end.
eBay announced today(1st Feb 2018) that it will stop working with PayPal as its back-end payments service in 2020, and will start to move a small percentage of its payments volume to a new partner later this year.
In PayPal’s place, eBay has signed a long-term deal with Adyen, an Amsterdam-based payments company that was founded in 2006 and has counted global companies like Uber, Netflix and Spotify among its customer base.
Adyen will become the primary payments processor for eBay sites across the world.
After the existing eBay-PayPal agreement ends in 2020, PayPal will remain as a payment option for shoppers on eBay, but it won’t be prominently featured ahead of debit and credit card options as it is today. PayPal will cease to process card payments for eBay at that time.
At eBay, the move is being billed as a way to take more control over the critical checkout experience, while giving more payment options to eBay shoppers.