For sale: unwanted telecoms business, only slightly used. Ebay, though, will not be auctioning Skype; rather an initial public offering is planned for the communications business in 2010. Announcing the decision so far ahead perhaps waves a “buy it now” sign at any interested parties yet to step forward, but at least logic has finally prevailed – online auctions and voice over internet protocol are not natural bedfellows.

So how much is Skype worth? Ebay paid $3.1bn in 2005, but has since written down the carrying value on its balance sheet to $1.85bn. The company ambitiously aims to double last year’s revenues of $550m (just $1.70 per user) by 2011. Assuming it can maintain the operating margin at 21 per cent, before stock-based compensation and overheads, typical multiples for online companies would suggest a valuation range from $1.5bn to $2.3bn.