eBay Reinvents Itself with AI-Powered Innovations

As of November 2025, eBay has undergone a remarkable transformation under the leadership of CEO Jamie Iannone. When Iannone took over in 2020, eBay was facing declining relevance and had just lost its position as the second-largest e-commerce platform to Walmart. However, the COVID-19 pandemic provided a boost, and eBay has since been investing heavily in artificial intelligence (AI) to reinvent itself.

In 2025 alone, eBay has introduced five new AI features, including AI-backed shipping estimates and a shopping chatbot. The company's strategy appears to be paying off, as eBay's stock has surged 75% since 2020, outperforming tech heavyweights like Microsoft, Meta, and Amazon.

eBay's focus on AI is aimed at making it easier for amateur sellers to list items on the platform. The company's "magical listing" tool uses AI to automatically fill out product descriptions and details, while its AI image technology can spruce up listings. eBay has also unveiled an AI assistant to help sellers respond to common buyer questions.

With an estimated $3,000 to $4,000 worth of unused products in the average American home, eBay sees a significant opportunity to boost its gross merchandise volume (GMV) by getting more people to sell their unused items. The company's AI investments seem to be gaining traction, with eBay reporting 10% year-over-year GMV growth in the most recent quarter.