eBay buys Zong for $240 million

Internet giant eBay Inc. said it has agreed to buy electronic payment company Zong in a $240 million all-cash, all-California acquisition. Zong, which has its headquarters in Menlo Park, Calif., "leverages connections with more than 250 mobile network operators around the world, offering localized, secure and easy-to-use payments capabilities for digital goods and services," eBay said in a statement. Zong operates in 21 languages in 45 countries. Combined with eBay's PayPal, the company now has the capacity to handle 100 million active payment accounts, the statement said. "We believe that Zong will strengthen this value by helping us reach the more than 4 billion people who have mobile phones, giving them more choices and security when they pay," PayPal President Scott Thompson said.