I think they have considered this, researched the feasibility, and decided that it can't happen. Thus Google Checkout.
Hey wrong. I am going to buy both the companies lol Well I dont think Ebay would sell out so easily. Because you see both of them make huge profit so they may not sell to either party. Yes at best they may merge just th eway HP and compaq merged
Google has no interest in ebay. They want to compete with Microsoft in the online office suite. If microsoft ever gets to having it's own online office suite.
My prediction is that google will buy my site and I will live the life of the rich and shameless. What I'm allowed to give bad predictions too.