EBay: Agentic AI Could Create New Channel for Online Shopping

Core Insights - eBay experienced a transformative year in 2024 by deploying AI tools for employees, sellers, and buyers, launching proprietary large language models (LLMs) [1][2] - The company utilized its extensive eCommerce data to create specialized LLMs, enhancing efficiency in various tasks and launching numerous customer-facing features [2] - eBay's collaboration with OpenAI's Operator aims to create a new online shopping channel, potentially increasing seller reach and buyer exposure [3][4] AI and Productivity - The introduction of new AI tools improved productivity in engineering and customer service, enhanced search results, and assisted sellers in generating product listings and automating social media [2] - By the end of 2024, dozens of features powered by LLMs were launched across various aspects of the platform, including search, payments, and marketing [2] Payment Innovations - eBay expanded payment methods, including the introduction of Klarna's buy now, pay later option in six European countries and a partnership with Riverty for monthly invoice payments in Germany [4][5] - The company focuses on adding locally relevant payment options to enhance buyer choice and optimize payment mix [5] Strategic Acquisitions - eBay's acquisition of Caramel, an online automotive transaction solution provider, aims to enhance trust in vehicle purchases and simplify the complexities of vehicle sales [6] - The improved vehicle transaction experience is expected to drive synergies in other categories, as vehicle buyers typically spend significantly on parts and accessories [7]