eBay has agreed to acquire Braintree
, a company that specializes in payment systems, for approximately $800 million in cash. The startup will initially operate as a separate division under eBay's PayPal division, which has served as a dominant competitor in the payment-services market.
Braintree's platform is said to be used by a wide range of companies, including Airbnb, OpenTable, TaskRabbit and Uber, among others. The company reports approximately $10 billion in payment processing each year, compared to $20 billion sent through PayPal.
"Bill Ready and his team add complementary talent and technology that we believe will help accelerate PayPal's global leadership in mobile payments," said eBay CEO John Donahoe. "Together, we expect that PayPal and Braintree also will accelerate our leadership in supporting developers who are creating innovative solutions for next generation commerce startups."
The deal currently awaits approval from regulators before finalization.