PayPal to break apart from eBay into separate company

PayPal is set to break apart from the online merchant eBay into a separate publically traded company.

According to the Verge, an independent PayPal will likely face the biggest threat in the ecosystem of digital wallets and mobile payments from Apple Pay.

PayPal has consistently been the most widely used platform for digital wallet users, revealed a ComScore study last year.

PayPal's new competitive threat would definitely come from the newly launched Apple Pay and also from Alibaba, Chinese e-commerce giant.

If Apple Pay performs well, it could also be launched on the web that would threaten PayPal's core business.