PayPal and eBay announced Monday (April 23) that the two have inked a new agreement in which eBay will offer PayPal as a payment method until July of 2023.
In a press release, eBay and PayPal said the new agreement builds on a deal to make PayPal a payment option on eBay’s new payments model. The new agreement between eBay and PayPal will ensure that PayPal continues to be available to buyers on the eBay marketplace. The deal includes payments via the PayPal payment button as well as other services, including fraud detection and buyer protections.
“PayPal has been a great partner for eBay, and as part of our new payments experience, PayPal will continue to be a key form of payment for our global customers,” said Devin Wenig, president and CEO of eBay, in the press release. “We are pleased to continue to offer PayPal as a form of payment on eBay and look forward to a continued, strong partnership with PayPal going forward.”
PayPal currently provides eBay with a payment solution based on an existing contract that lasts through July of 2020, noted the companies. “We are proud to have extended our relationship with eBay and our commitment to build on more than 15 years of collaboration and innovation with a great partner,” said Dan Schulman, president and CEO of PayPal, in the same press release. “We are excited to continue to provide our millions of mutual customers with innovative, trusted and seamless PayPal payment experiences.”
As part of its earnings announcement in February, eBay announced it would move to bring payments between buyers and sellers into its own orbit, and has struck a deal to bring Adyen on board as payments processor. By doing that, eBay said it will lower costs along the online marketplace by offering more options at checkout for consumers of eBay’s marketplace.