PayPal’s split from long-time partner eBay makes Carl Icahn mighty happy. But he doesn’t think PayPal should stay single for long.
Icahn — who months ago called on eBay to spin off the lucrative online and mobile payment service — continues to believe that the payments field must be consolidated, either by PayPal buying up smaller rivals or by merging with another major player.
“In light of the development of strong competition such as the advent of Apple Pay, the sooner these consolidations take place, the better,” he wrote on his website in the wake of eBay’s announcement that it will split off PayPal by the second half of 2015.
An independent PayPal will be much more appealing to potential customers like Amazon.comb who compete with eBay. And PayPal will have more freedom to aggressively take on new mobile pay challenger Apple Pay.