EBay Buys VeriSign Unit for $370 Million

SAN FRANCISCO — Online marketing giant eBay and domain registrar VeriSign announced a strategic alliance Monday that will include eBay’s purchase of VeriSign’s payment processing business.

PayPal, the online payment company eBay bought in 2002 for roughly $1.5 billion, will incorporate VeriSign’s technology into its merchant services, including VeriSign’s password protection technology that is designed to thwart identity theft.

EBay, via PayPal, is expected to shell out $370 million in cash and stock options as part of the deal.

“VeriSign's payment gateway is a market-proven product that perfectly complements PayPal's existing payment services,” Jeff Jordan, president of PayPal, said of the deal. “This acquisition allows PayPal to give customers more choice in payment services.”

VeriSign saw an initial 5.2 percent jump in its stock price following the news, but finished the day only about half-a-percent higher at $20.04. Ebay ended the day up 1.4 percent at $40.46.

Officials at PayPal said they hoped the purchase would expand PayPal’s presence in the merchant services market, a space VeriSign has long dominated. VeriSign’s payment gateway gives merchants several processing and authorization tools that PayPal officials expect to bring an additional $100 million in revenue to the company in the first year alone.

PayPal currently processes around $40 billion in online payments a year.

“The acquisition provides our worldwide merchant base with the benefits of PayPal's already robust payment capabilities,” Stratton Sclavos, chairman and CEO of VeriSign, said.

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

FSC: California's Device-Based AV Law Does Not Apply to Adult

The Free Speech Coalition (FSC) put out an advisory today explaining that California's new device-based age verification law does not apply to adult websites.

Reena Sky Launches New Paysite

Reena Sky has launched her new official paysite, ILoveReenaSky.com.

NextGen Payment Joins ASACP as Corporate Sponsor

NextGen Payment has signed on as the latest corporate sponsor for the Association of Sites Advocating Child Protection (ASACP).

Lauren Phillips, Derek Kage Cap AEBN's Top Stars for 3rd Quarter of 2025

AEBN has revealed its most popular performers in straight and gay theaters for the third quarter of 2025.

XBIZ 2026 Conference to Debut All-New Company Lounges, Community Track

The event website for XBIZ 2026 is now live, unveiling details for North America’s largest adult industry conference, including two all-new show features: Company Lounges and a Community Track.

Mymember.site Integrates VR Functionality

Mymember.site has added virtual reality playback capability to its website management platform.

Texas Patti to Launch Fetish Platform 'EmpireDom'

Performer and content creator Texas Patti is launching a new platform for doms and fetish creators, EmpireDom.com.

Ohio AG Threatens Action Against 'Major' Adult Sites Over AV Law

Ohio Attorney General Dave Yost announced today that his office is sending "notice of violation" letters to 19 adult websites for failure to comply with the state's recently enacted age verification law.

Chaturbate Announces 2025 Music Contest Winners

Chaturbate has revealed the winners of its 2025 music competition.

2026 XBIZ Exec Awards Pre-Noms Open With Debut of New 'Impact' Honors

XBIZ is pleased to announce that the pre-nomination period for the 2026 XBIZ Exec Awards, the adult industry’s premier career honor, begins today and runs through Oct. 14.

Show More