eBay Enterprise & Magento sold and broken up

eBay have completed the sale of their eBay Enterprise division which has promptly been broken up into four distinct businesses by the new owners, a consortium consisting of Sterling Partners, Longview Asset Management, and the Innotrac Corporation, a Sterling Partners portfolio company, together in partnership with companies owned by the Permira funds and Banneker Partners.

As part of this transaction, the customer relationship management (CRM) division of eBay Enterprise (including the email, hosted database and attribution businesses) was purchased by Zeta Interactive.

The four business going forward will be:

  • Enterprise Operations & Technology Services owned by Sterling Partners and will be run by a holding company that owns Innotrac Corporation. Those businesses will ultimately be combined to deliver world-class omnichannel services.
  • The Magento Commerce Technologies business is now owned by the Permira funds.
  • The Marketing Solutions business ends up with Banneker Partners and the Permira funds. The new standalone company will deliver best-in-class commerce marketing, including a suite of affiliate and performance marketing agency solutions.
  • The CRM business now owned by Zeta Interactive will bring a full suite of CRM solutions to Zeta’s data-driven marketing solutions.

The main interest for most small and medium sized retailers is what’s happening with Magento. Magento Community Edition, Magento Enterprise Edition, Magento Commerce Order Management, Magento Retail Commerce and The Magento Marketplace are now back as a standalone company in much the position they were in before eBay Enterprise/GSI Commerce acquired them. The main difference is that eBay are no longer funding the M2E Pro plug in which will become a paid for service and will compete with alternative Magento marketplace connectors such as Codisto.

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Correction: 1. M2E Pro is not a plug in. Architecturally it is a scalable solution,which in fact platform independent. Next year M2E Pro will lunch a new product aimed at serving community outside of Magento. 2. M2E Pro and Codisto are not competitors per se. After m2e pro has introduced the fee structure, both companies will serve different market segments.

Alex • 4th November 2015 •

My apologies Alex, of course M2E Pro isn't a plug in as I described it. M2E Pro is of course a Magento extension available in the Magento Connect Marketplace. I shall get my terminology correct in the future :-) We look forward to the launch of a new M2E product.

Chris Dawson • 4th November 2015 •