Cohen Vows to Slash eBay Workforce, Details $2B Cost-Cut Plan in Hostile Bid Push

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GameStop CEO Ryan Cohen detailed a plan to cut $2 billion in costs at eBay and use GameStop stores for authentication and live commerce, intensifying his hostile takeover campaign with no fallback option.

check_boxKey Events · M&A and Partnerships · GME

• Cohen Targets $2B+ in eBay Cost Cuts

  Ryan Cohen stated he would cut at least $2 billion in annualized costs at eBay within 12 months, calling the company 'obese' and saying its workforce is bloated. He cited his GameStop turnaround where he reduced corporate headcount from 1,200 to 300 while strengthening the tech stack.

• Operational Synergies Detailed

  Cohen outlined using GameStop's 1,600 U.S. stores for same-day trading card authentication — replacing eBay's regional third-party model — and as studios for live commerce, an area where he says eBay has lost significant share. He emphasized these moves require almost no capex.

• No Backup Plan if Bid Fails

  Cohen revealed he has no alternative plan if the eBay acquisition does not proceed, stating 'there's no backup plan here,' mirroring his approach at Chewy and GameStop. This all-or-nothing stance increases pressure on eBay shareholders to engage.

• Dismisses eBay's Rejection Reasons

  Cohen called eBay's cited concerns — financing uncertainty, leverage, operational risk, and leadership structure — illegitimate, framing the decision as a shareholder vote on who will maximize value. He criticized eBay's management as entrenched and lacking work ethic.

auto_awesomeAnalysis · GME · Trade & Services

In a July 13 interview, GameStop CEO Ryan Cohen escalated his hostile takeover campaign for eBay by unveiling his most aggressive operational blueprint to date. He explicitly pledged to cut eBay's workforce, labeling the company 'obese,' and set a floor of at least $2 billion in annualized cost reductions—a level he insists would still leave eBay above peer averages. Cohen mapped out specific synergies: leveraging GameStop's 1,600 U.S. stores for same-day trading card authentication and as live-commerce studios, areas where he contends eBay has 'done terribly.' Dismissing eBay's rejection rationale as illegitimate, he framed the decision as a shareholder vote on who will maximize value. Crucially, Cohen disclosed he has no backup plan if the acquisition fails, signaling an all-or-nothing commitment that raises the stakes for both companies' shareholders.