EBay’s decision to spin PayPal off next year could give it renewed life: as a public company, PayPal would be able to issue its own stock to help attract talent and retain its growth, which is crucial considering the fierce competition it faces. Aside from its old nemesis Square, newcomer Apple Pay is a serious threat to PayPal in mobile apps, while Stripe has recently signed major partnerships with Twitter and Facebook, not to mention Amazon’s low-key entry into mobile payment.
Moreover, this move could make PayPal a takeover target, with Google often brought up as a possible buyer as it is eager to compete with Apple in mobile payment. Either way, it seems like the digital payment industry is due for a shake-up.