If you have traveled by an airline in the past, you might know how easy it is to find, book and compare air tickets online through sites like Expedia, Kayak, Trip Advisor and more. The air travel market is probably one of the most lucrative ones out there, and guess who is going to get a share in that pie now? Google.
Google just got into the travel industry by acquiring a Boston based company called ITA, which specializes in organizing airline data, flight times, availability and prices. With this acquisition Google might be looking to build a more robust and useful travel search engine where they could also possibly make more money through the medium.
The deal was signed for $700 million in cash subject to adjustments and is aimed at benefiting passengers, airlines and online travel agencies. Some of the facts of the acquisitions includes:
- Google’s acquisition of ITA Software will create a new, easier way for users to find better flight information online, which should encourage more users to make their flight purchases online.
- The acquisition will benefit passengers, airlines and online travel agencies by making it easier for users to comparison shop for flights and airfares and by driving more potential customers to airlines’ and online travel agencies’ websites. Google won’t be setting airfare prices and has no plans to sell airline tickets to consumers.
- Because Google doesn’t currently compete against ITA Software, the deal will not change existing market shares. We are very excited about ITA Software’s QPX business, and we’re looking forward to working with current and future customers. Google will honor all existing agreements, and we’re also enthusiastic about adding new partners.
So do you think that Google will now move ahead and provide users with a better travel experience? Let your thoughts be known. More information on the acquisition can be found at the Official Google Blog.
Image Credit: sustainabletourismnetwork.co.za