That sentence summarized most of the Rule Breaking criteria. Those numbers are along the lines of what the company expected last fall, too, but they do allow for some upside surprise. It's been written about extensively and its stock has soared ten-fold from its initial offering price. It is the top dog, first-mover auction site on the Internet, with more auctions taking place on its site than on all the competition combined. They merely need to be a registered user.
Gross margins represent what it costs the company for every dollar of revenue.
This company has a giant advantage when it comes to margins because it doesn't carry inventory. It doesn't sell anything tangible. It provides the forum for a community to meet and conduct transactions. Yes on two accounts. In its own right, eBay is redefining the retail market with its service, not just the auction market.