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Technology Stocks : eBay - Superb Internet Business Model
EBAY 83.82+3.7%Nov 7 9:30 AM EST

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To: Buster O. Hype who wrote (2224)3/12/1999 11:25:00 PM
From: Tom Hua  Read Replies (2) of 7772
 
Buster, last year person-to-person auctions accounted for $2.1 B of internet e-commerce. Assuming ebay has the lion's share at 80%, then their revenue of $47.3 MM amounts to 2.8% of auction sales.. (Ebay's commission is 1.25 - 5%, per the company).

Analysts expect auction sales to triple in 2000, or about $6.3 B. Ebay's revenue will be 0.028*6,300 MM = $176 MM. This is far below the $700 MM guesstimated by Doug.

Doug, you may want to justify your numbers with some data. Perhaps you can dispute mine.

Regards,

Tom
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