Ebay and PayPal have announced that they are going to be split into separate companies. Ebay has long resisted this split as it's previous market strategy since aquiring PayPal in 2002 was to create an integrated market and payment system. Now, with paypal's business growing twice as fast as Ebay, the company has made the decision to separate the two into distinct companies so that they can concentrate on increasing paypal's market share and better deal with the growing threat of competition from the likes of Apple Pay and Alipay (the payment system provided by the huge Alibaba).

What this means for the industry is that paypal will have greater control over its own products, and we are likely to see more innovative payment solutions and cheaper tariffs for online ecommerce.