After launching blogs and wikis last year, eBay is continuing its social-networking, "Web 2.0" initiatives. eBay asked users on Monday to submit videos for the "Transform it with eBay" Video Contest. The contest ties in with the release of the movie "Transformers," opening in theaters on July 4th.

eBay asked users to submit a video no longer than 1 minute on how eBay has transformed their lives, or how they transformed an item they bought on eBay into something else. The winner will receive a $5,000 shopping spree on eBay. Five finalists will be selected by eBay staff, and eBay users will vote on the grand-prize winner. eBay will accept entries through June 17, 2007.

The contest may be part of eBay's ongoing efforts to make the auction site more fun and engaging. Philipp Justus was brought over from eBay Germany late last year to head Auctions. Reporting to Bill Cobb, Justus said in his first eBay Town Hall Meeting appearance last week that eBay's focus in 2007 was to make the user experience better, more seamless and simpler, and eBay would be working this year on simplifying and "bringing fun back to eBay."

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