EBay Buys Zong for $240M

Menlo Park, CA-based Zong, builder of a system that allows mobile phone users to make online purchases without a credit card, said yesterday that it has been acquired by eBay, where it will become part of payment subsidiary PayPal. EBay said that it paid $240 million in cash for the startup, which had raised $30 million in venture backing from Advent Venture Partners, Matrix Partners, and Newbury Ventures. EBay said in a statement that it “expects that Zong will add complementary technology and talent that help strengthen PayPal’s leadership position in mobile payments and digital goods.”

Wade Roush is the producer and host of the podcast Soonish and a contributing editor at Xconomy. Follow @soonishpodcast

Trending on Xconomy