Google’s ITA acquisition came under close scrutiny as it meant an end of businesses based on airlines tickets and travels. The acquisition was put on hold until Google agreed to act fairly with the competition.
The deal is still on hold as it needs to be approved by the courts but things look really good in the $700 million acquisition, now that the DOJ has given it a go. However, the condition laid out by the DOJ is,
The Department of Justice’s proposed remedy promotes robust competition for airfare websites by ensuring those websites will continue to have access to ITA’s pricing and shopping software. The proposed settlement assures that airfare comparison and booking websites will be able to compete effectively, providing benefits to consumers.
Google has clearly announced that all current ITA contracts will remain intact and can be extended till 2016. With ITA, it will be much easier to search for flight schedules and ticket prices right into Google search. This provides a simplistic approach to flight search that was dominated by travel websites earlier.
Google has concluded its announcement with,
We’re moving to close this acquisition as soon as possible, and then we’ll start the important work of bringing our teams and products together. We’re confident that by combining ITA’s expertise with Google’s technology we’ll be able to develop exciting new flight search tools for all our users. Up, up and away!
Clearly, Google has taken a plunge into airlines information services, and with this magnitude of competition, we can expect to see more innovation in this sector.