In a surprise announcement, e-commerce giant eBay said it would spin off digital payment service PayPal. The move, an apparent reaction to Apple’s entry into mobile payments, is meant to make PayPal more nimble. PayPal has more than 150 million regular users and generated $6.6 billion in revenue last year. A number of large retailers as well as payment startups Square and Stripe have already agreed to accept Apple Pay, which is expected to be available within a month. Apple says its service, which will allow iPhone users to pay with their phones and authenticate purchases with via fingerprint scanner, will be faster and safer than PayPal's current offerings. But PayPal could be an attractive alternative for merchants since it runs on both Apple and Android operating systems.