eBay announced two agreements that it hopes will fuel further growth of its eBay Motors business. eBay will acquire certain assets of Texas-based CARad.com, and it has forged a strategic relationship with Kelley Blue Book's kbb.com. This comes after AutoTrader.com, the number one automotive classifieds site, ended its relationship with eBay in January and announced plans to launch auction-style listings.

eBay said CARad.com's technology gives car dealers a simplified way to list and manage more vehicle auctions on eBay Motors. The acquisition is expected to close during the first quarter of 2003. Financial terms of the proposed acquisition were not disclosed.

eBay also said it will become kbb.com's exclusive auction-style partner. Automotive shoppers who use kbb.com for research and pricing information will have direct access to the relevant vehicle listings on eBay Motors. The agreement will also allow franchise dealers who use KarPower, Kelley Blue Book's dealer inventory management software, to more easily list inventory on eBay Motors.

Coupled together, eBay expects these relationships to enable dealers to more easily manage a higher volume of auctions, while also helping more buyers find the cars they want on eBay Motors. eBay Motors sold more than three billion dollars worth of vehicles and parts on its site in 2002.