2007 Annual Meeting of
     Stockholders
     June 14, 2007
                         ®
This presentation contains non-GAAP measures relating to the company's performance. You can find
  the reconciliation of t...
eBay’s vision is to help people
everywhere connect, discover and
 interact with each other through
             commerce
Buy     Pay      Communicate



Marketplaces          Payments      Communications




   craigslist
Large and growing core business
                                                                    222
                  ...
…Significant opportunities for growth



                                 Growing beyond GMV
      Growing GMV          +
...
Growing GMV: Enhance our product

Improve the Finding Experience

• New Search Results
Growing GMV: Enhance our product

Improve the Finding Experience

• New Search Results

• New Search Landing Pages
Growing GMV: Enhance our product

Improve the Finding Experience

• New Search Results

• New Search Landing Pages

• New ...
Growing GMV: Enhance our product

Improve the Shopping Experience

• Bid Assistant
Growing GMV: Enhance our product

Improve the Shopping Experience

• Bid Assistant

• Detailed Seller Ratings -

        F...
Growing GMV: Enhance our product

Improve the Shopping Experience

• Bid Assistant

• Detailed Seller Ratings -

        F...
Growing GMV: Enhance our product

Improve the Shopping Experience

• Bid Assistant

• Detailed Seller Ratings -

        F...
Growing GMV: Improve Trust & Safety


   Safeguarding Member ID’s


    Selling limits on items favored
   by counterfeite...
Growing GMV: Extend our offering



• eBay Express
 • Convenience oriented buyer
 • New search engine
 • Shopping cart
Growing GMV: Extend our offering



• eBay Express

• Tickets - StubHub
  • A leading secondary tickets
    marketplace
  ...
Growing Beyond GMV

New Formats

• Shopping.com
 • 60 million products, 280 categories globally
 • The leading comparison ...
Growing Beyond GMV

New Formats

• Shopping.com

• Classifieds
  • Buyer appeal: Local market transactions
  • eBay c2c cl...
Growing Beyond GMV

New Monetization Models

• Advertising / Click to Call
• In the US:
   – Ramping up on selling our gra...
Marketplaces revenue growth
                                      $1.25B
                                      Q1-07


   ...
Giving Works


               $100M raised
                for charity to
                    date!
The global online payments standard


• Trusted brand


• Industry leading fraud
  management


• Global reach


• Best-in...
Large and growing core business
                                                           133
                           ...
PayPal’s value proposition

                                       Merchants like PayPal…
Consumers like PayPal…
• Easy to...
Platforms for growth



                        +   Merchant Services
   PayPal on eBay

 • Product innovation       • Pro...
Platforms for growth – PayPal on eBay

                                    59% of global
• Product innovation
            ...
Platforms for growth – PayPal on eBay

                                       26% of Skype’s
• New platforms and marketpla...
Platforms for growth - Merchant Services


•   Enhanced product offering
     – Suite of products for all merchant segment...
Platforms for growth - Merchant Services

•   Expanding across merchant base and geographies
     – Continuing to grow sol...
Merchant Services becoming ubiquitous
PayPal revenue growth
                                       $439M
                                       Q1-07
          ...
Enabling the world’s conversations



• Strong brand

• Great product

• Global reach

• Thriving ecosystem
Enabling the world’s conversations
                                                                    196
               ...
Continued product innovation…


•   Skype Send Money
•   Skype Prime
•   Skype Find
•   Video
•   SMS messaging
•   Skype ...
Constantly expanding ecosystem…



                           4000+ Developers!




                                      ...
… Skype is everywhere




                                                                                    Off-Desktop
...
Skype revenue growth

                              Tripled annual
                                 revenue

           21...
An incredible set of stand-alone businesses




                                 #1 in voice
   # 1 in       #1 in online
...
…Stronger as one portfolio


                       ®
Our financial model…

                        Robust
                    revenue growth


   Product
                     ...
…Strong growth

                      Op Margin             Free cash flow
Top line growth
                      Expansion...
…gives us financial flexibility

          Reinvest to expand market opportunity…
                                        ...
Our financial outlook

                              Generate
                  Expand
Grow the
                          ...
Our 2007 financial outlook


  Top-line                                                   Earnings per
                   ...
• Incredible set of stand-alone businesses
• Strong platforms for growth
• A great business model
2007 Annual Meeting of eBay Shareholders
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2007 Annual Meeting of eBay Shareholders

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2007 Annual Meeting of eBay Shareholders

  1. 1. 2007 Annual Meeting of Stockholders June 14, 2007 ®
  2. 2. This presentation contains non-GAAP measures relating to the company's performance. You can find the reconciliation of those measures to GAAP measures in the tables of our earnings release which is available through our investor relations website located at http://investor.ebay.com/downloads/Reconciliation.pdf. This presentation may contain forward-looking statements regarding matters that involve risk and uncertainty, including those relating to the company’s ability to grow its businesses, user base and user activity. Our actual results may differ materially from those discussed for a variety of reasons, including our increasing need in established markets to grow revenues from existing users as well as from new users; an increasingly competitive e-commerce environment; the complexity of managing a growing company with a broad range of businesses; the impact of the company’s recently announced pricing and product changes; regulatory, tax, and litigation risks (including financial industry risks specific to PayPal and risks specific to Skype’s technology and to the VoIP industry); our need to upgrade our technology and customer service infrastructure to accommodate growth at reasonable cost while adding new features and maintaining site stability; our need to successfully extend our platforms to new countries and new types of merchandise and sellers; foreign-exchange-rate fluctuations; and the impact and integration of recent and future acquisitions. You can find more information about factors that could affect our results in our annual report on our Form 10-K and our quarterly reports on Form 10-Q (available at http://investor.ebay.com). You should not unduly rely on any forward-looking statements, and we assume no obligation to update them. ® 2 eBay Inc. - Proprietary & Confidential
  3. 3. eBay’s vision is to help people everywhere connect, discover and interact with each other through commerce
  4. 4. Buy Pay Communicate Marketplaces Payments Communications craigslist
  5. 5. Large and growing core business 222 Confirmed Registered Users (M) 233M Q1-07 56% CAGR • 37 global markets 10 • $1,800 GMV per second 1999 2006 Gross Merchandise Volume $52B $14.3B • 6.4M daily new listings Q1-07 52% CAGR • 50,000 API developers * As of Mar 31, 2007 $3B 1999 2006
  6. 6. …Significant opportunities for growth Growing beyond GMV Growing GMV + • New formats • Enhance our product • New monetization models • Improve Trust & Safety • Extend our offering
  7. 7. Growing GMV: Enhance our product Improve the Finding Experience • New Search Results
  8. 8. Growing GMV: Enhance our product Improve the Finding Experience • New Search Results • New Search Landing Pages
  9. 9. Growing GMV: Enhance our product Improve the Finding Experience • New Search Results • New Search Landing Pages • New Relevancy Based Listings Sort – Best Match
  10. 10. Growing GMV: Enhance our product Improve the Shopping Experience • Bid Assistant
  11. 11. Growing GMV: Enhance our product Improve the Shopping Experience • Bid Assistant • Detailed Seller Ratings - Feedback 2.0
  12. 12. Growing GMV: Enhance our product Improve the Shopping Experience • Bid Assistant • Detailed Seller Ratings - Feedback 2.0 • Improved eBay Checkout
  13. 13. Growing GMV: Enhance our product Improve the Shopping Experience • Bid Assistant • Detailed Seller Ratings - Feedback 2.0 • Improved eBay Checkout • Motors 2.0
  14. 14. Growing GMV: Improve Trust & Safety Safeguarding Member ID’s Selling limits on items favored by counterfeiters Enhanced buyer protection
  15. 15. Growing GMV: Extend our offering • eBay Express • Convenience oriented buyer • New search engine • Shopping cart
  16. 16. Growing GMV: Extend our offering • eBay Express • Tickets - StubHub • A leading secondary tickets marketplace • Best in class buying/selling experience
  17. 17. Growing Beyond GMV New Formats • Shopping.com • 60 million products, 280 categories globally • The leading comparison shopping site in the US • International presence in UK, France, Germany and Australia A Better Way to Shop A Better Way to Sell
  18. 18. Growing Beyond GMV New Formats • Shopping.com • Classifieds • Buyer appeal: Local market transactions • eBay c2c classifieds sites have a leading position in 21 markets and hundreds of cities • Strong growth in unique visitors
  19. 19. Growing Beyond GMV New Monetization Models • Advertising / Click to Call • In the US: – Ramping up on selling our graphical inventory and have expanded graphical to more areas on the site – Increased to nearly full exposure of text ads on null search results – Continue to optimize ad placement on non-null search results • Internationally: – Began testing text ads on both null and non null search results in Q107
  20. 20. Marketplaces revenue growth $1.25B Q1-07 $4.3B 53% CAGR $0.2B 2006 1999
  21. 21. Giving Works $100M raised for charity to date!
  22. 22. The global online payments standard • Trusted brand • Industry leading fraud management • Global reach • Best-in-class product
  23. 23. Large and growing core business 133 Accounts (M) 143M Q1-07 62% CAGR • 36M active accounts 12 • $2B+ stored balances 2001 2006 $38B Total Payment Volume $11.4B • 177M transactions in Q1 Q1-07 57% CAGR • 190 markets & 17 currencies $4B 2001 2006
  24. 24. PayPal’s value proposition Merchants like PayPal… Consumers like PayPal… • Easy to use • Easy, all-in-one payment solution • Convenient, online wallet with • Largest consumer base, with multiple payment options $2B+ in stored balances • Secure • Cost-effective and competitive pricing structure – Protection from unauthorized access to • Safer, less fraudulent accounts transactions – buyer protection • Direct relationship with • Fast, transactions only take a few customers seconds
  25. 25. Platforms for growth + Merchant Services PayPal on eBay • Product innovation • Product offering • Global expansion • Global / merchant expansion • New platforms • Sales channels
  26. 26. Platforms for growth – PayPal on eBay 59% of global • Product innovation addressable eBay GMV – Guest checkout – Integrated shipping – Market specific products – Improved payment flow • Global expansion - localized 14 sites to date – Language – Currency – Local banking infrastructure – Local regulation
  27. 27. Platforms for growth – PayPal on eBay 26% of Skype’s • New platforms and marketplaces payment volume* – Skype – Shopping.com – Classifieds * As of March 2007
  28. 28. Platforms for growth - Merchant Services • Enhanced product offering – Suite of products for all merchant segments – Virtual terminal – Improved reporting tools – Easier integration process
  29. 29. Platforms for growth - Merchant Services • Expanding across merchant base and geographies – Continuing to grow sole proprietor and SMB markets – Beginning to penetrate large merchants – More than doubled currencies to 17 and increased markets to 190 • Multiple sales channels Penetration of merchants*: 37% - SPs – VeriSign Payment Gateway 5% - SMBs – Yahoo 1% - large merchants – Paymentech – Direct sales * US online merchants – Source:Forrester, 2006
  30. 30. Merchant Services becoming ubiquitous
  31. 31. PayPal revenue growth $439M Q1-07 $1.4B 49% CAGR $0.4B 2003 2004 2005 2006
  32. 32. Enabling the world’s conversations • Strong brand • Great product • Global reach • Thriving ecosystem
  33. 33. Enabling the world’s conversations 196 Registered Users (M) • 9M+ peak online users • 3B+ monthly call minutes Q104 Q107 Skype-to-Skype Minutes (B) 7.7 • 4.4% of total international long distance minutes* • 28 languages and nearly every country * 2006 Telegeography Q104 Q107
  34. 34. Continued product innovation… • Skype Send Money • Skype Prime • Skype Find • Video • SMS messaging • Skype Mobile • Skypecasts • Conference calls – 10 way • Skype for Business control panel • Phone number recognition • Multi-chat • Customization
  35. 35. Constantly expanding ecosystem… 4000+ Developers! 350+ Skype-enabled 400+ Hardware devices! Applications! Partnerships with world-class companies!
  36. 36. … Skype is everywhere Off-Desktop On The Web Pocket PC, WinMobile In Other Skype Me Buttons Corded and Cordless Major Operating Applications Web Presence Phones Systems Toolbars for Internet (e.g., Salesforce.com Polycom speaker phone WinXP, MacOS, Linux Explorer, Firefox, Outlook Six Apart blogs, Postbank) WiFi Phones On your desktop … across the internet … and beyond!
  37. 37. Skype revenue growth Tripled annual revenue 21% CQGR $79M $25M Q405 Q107
  38. 38. An incredible set of stand-alone businesses #1 in voice # 1 in #1 in online communications eCommerce payments
  39. 39. …Stronger as one portfolio ®
  40. 40. Our financial model… Robust revenue growth Product Financial Increase innovation and flexibility scale long-term shareholder value High operating Strong margins cash flows
  41. 41. …Strong growth Op Margin Free cash flow Top line growth Expansion generation $1.7B +8ppts $6.0B 32.8% 56% 51% CAGR 24.2% CAGR $0.7B $0.2B 2001 2006 2001 2006 2001 2006
  42. 42. …gives us financial flexibility Reinvest to expand market opportunity… Merchant Services Communications Comparison Shopping Local Markets * …and return shareholder cash $4B Stock Repurchase over 28 months *Skype acquisition financed with both cash and stock
  43. 43. Our financial outlook Generate Expand Grow the strong cash operating top-line flows margin
  44. 44. Our 2007 financial outlook Top-line Earnings per Operating growth share margin EPS Operating Revenue Margin $1.30 - $1.34 $7.20 - $7.45B ~33% 24% - 28% 21% - 25% Growth Y/Y + 20 bps Y/Y Growth Y/Y Based on guidance issued April 18th, 2007
  45. 45. • Incredible set of stand-alone businesses • Strong platforms for growth • A great business model

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