PayPal Leader Decamps for Facebook

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David Marcus, former leader of PayPal, will decamp from the eBay owned organization to become the head of Mobile Messaging products for Facebook. He will be leaving PayPal on June 27, 2014, to begin his new duties at Facebook, as announced yesterday by eBay Inc. The online sales company went on to say that Marcus will be focusing on what he loves to do best, propelling groups of workers to achieve exceptional services. They wished him well in his new career and thanked him for leaving behind a qualified group that was well equipped to grow and expand their business. The PayPal team will be reporting to the CEO and President of eBay, John Donahue, while the company searches for a qualified candidate to take over for Marcus.

The move by David Marcus to leave PayPal and join Facebook comes after Marcus met with the founder of Facebook, Mark Zuckerberg. He claims that Zuckerberg shared such a compelling perception of what he envisioned Mobile Messaging to become, and was so passionate about it that he felt excited to step on board with the company. Marcus also comments how the platform for Facebook and the consumer reach and commitment for it was unparalleled, and that also drew him to decamp from PayPal to Facebook. He went on to say how he will enjoy getting his hands dirty by helping to make something meaningful and new at scale.

Although Facebook owns WhatsApp, which it acquired in February of this year for $19 billion, and its own Messenger App, PayPal leader David Marcus will be dealing solely with the Messenger App, for which he will decamp the eBay owned company in favor of Facebook at the end of June. It is rumored that Facebook’s Messenger App is about to experience an intense change and an onslaught of new products. Some predict that Facebook will be incorporating direct payment opportunities into the Messenger App, as both a peer-to-peer and platform wide currency. In an email written by Brian Blau, who follows social media trends for Gartner, a research firm, he recapitulates his stance on e-commerce in social media sites. He claims that it will be the key to enabling commerce for small and big businesses, and that Messenger on Facebook was fast becoming what he called a “pillar product.”

In the three years Marcus has been working for PayPal, since that company acquired his start-up mobile payments company in 2011, Zong, for $240 million, he went from being the head of a small company of 250 employees, to one where he was managing 14,000 employees. He also played a major role in turning PayPal into a multi-billion dollar a year mobile commerce industry leader that handled $180 billion in sales last year, $27 billion of which were mobile sales. Marcus’ PayPal unit was responsible for 41 percent of revenue for eBay in 2013. No small feat, considering PayPal had 148 million or more active users as of 2013.

The soon to be ex-PayPal leader decamps his old digs for Facebook near the end of this month, and will be reporting to both Mark Zuckerberg, CEO of Facebook, and Vice President of Growth and Analytics, Javier Olivan, who had been in charge of the Messenger App. He will not be involved with any other of Facebook’s payment products. The WhatsApp messenger service will operate separately later this year when the buyout is complete. While working for PayPal had been one of the most wonderful experiences of his career, and he is proud of what he accomplished with the company, Marcus felt that the timing of Zuckerberg’s offer was right. He feels he is needed more at Facebook, leading that company’s smaller outfits to build greater and more profound experiences with their products.

By Korrey Laderoute

Sources:
Business Insider
Forbes
NYTimes.com

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