June 07, 2011

eBay Acquires Magento to Advance its Own E-Commerce Platform

By Beecher Tuttle, TMCnet Contributor

Online auction site eBay  has agreed to acquire e-commerce platform maker Magento. Terms of the deal were not disclosed.

Magento is a popular open source e-commerce solution that enables merchants to be highly creative and flexible when building out the content and functionality of their online stores. For eBay, the deal will allow it to accelerate the development of its own X.Commerce platform, which the company hopes will become an all-in-one resource for merchants and retailers, according to a release. Magento will be at the core of this platform.

"The feedback we've heard from external developers has been clear - they don't just want payments or an ecommerce site; they want access to a full set of commerce capabilities to build complete shopping experiences for merchants," eBay President and CEO John Donahoe noted in a statement.

"We believe the acquisition of Magento and creation of our X.Commerce group will enable us to meet developers' needs and drive global commerce innovation for retailers and consumers," he added.

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