Tech M&A: It'll Be a Good Year

As company valuations tumble, big players like eBay and Oracle see lots of potential bargains, while targets see fewer buyout alternatives

Executives at eBay know a bargain when they see one. For Lorraine McDonough, eBay's mergers chief, 2008 is shaping up to be a good year to go shopping. Banks are reining in credit, relegating competing private equity firms to the sidelines, and stocks are tumbling, taking a bite out of asset prices. "We are in a good position to make acquisitions," McDonough says.

The e-commerce company kicked off the year with the purchase of payment-security firm Fraud Sciences for $169 million and expects to make eight or nine acquisitions this year, roughly twice the usual target tally, McDonough says. Read More.