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EBAY » Topics » Website development costs

This excerpt taken from the EBAY 10-K filed Feb 17, 2010.

Website development costs

Costs related to the planning and post implementation phases of our website development efforts are recorded as an operating expense. Direct costs incurred in the development phase are capitalized and amortized over an estimated useful life of one to three years as charges to cost of net revenues. During the years ended December 31, 2007, 2008 and 2009, we capitalized $110.6 million (including $8.4 million of stock-based compensation), $112.7 million (including $10.6 million of stock-based compensation) and $105.4 million (including $9.1 million of stock-based compensation) of website development costs, respectively.

 

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

 

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