Digital River Signs E-Commerce Agreement with Skype

Digital River, Inc. (NASDAQ: DRIV), a global leader in e-commerce outsourcing, today announced that it signed an e-commerce agreement with Skype, the global Internet communications company. For Skype’s U.S. e-commerce store, located at www.skype.com/shop, Digital River has created a fresh new site design and added new features such as search-by-product and browse-by-category. In addition, Digital River is utilizing its new intelligent sourcing engine to support the physical delivery of Skype products, such as Internet phones, webcams and headsets, from warehouses located across the U.S.

“As more and more consumers shop via the Internet, online merchants are searching for new ways to enhance their e-commerce sites and improve the buying experience,” said Don Peterson, Digital River’s senior vice president of global client development. “With its enhanced functionality and new shopping options, the new Skype Shop is delivering added conveniences and efficiencies for both Skype and its customers by handling orders in the most timely and cost-effective manner possible.”

Based on the new agreement, Digital River is providing online order management and physical product fulfillment. Skype’s e-commerce site uses Digital River’s new physical fulfillment solution, which includes an intelligent sourcing engine that automatically determines the optimal warehouse source for physical product delivery based on factors such as real-time inventory status, cost of goods and shipping costs. In addition, Digital River is providing Skype with 24x7 customer service and fraud prevention as well as driving online product promotions for the newly enhanced site.

“Our goal in relaunching the Skype Shop is to make our online store the best and most convenient place for Skype users in the U.S. to purchase Skype Certified™ devices and accessories so they can enhance their experience using Skype,” said Dave Beckwith, director, Skype Global Stores. “Digital River presented us with a solution that is helping our customers find products more easily and enabling our business to drive increased sales.”