
In a press release issued early today, Expedia, Kayak and Travelocity announced that they have formed FairSearch.org, a coalition of large online travel sites and travel technology companies, banded together in an effort to urge the Justice Department to challenge Google’s proposed $700 million purchase of ITA Software.
ITA powers some of the Web’s most popular airline-ticket search and booking sites, including Kayak.com and Hotwire.com. Expedia (owner of Hotwire and Expedia.com) as well as Kayak and Microsoft, whose Bing search engine relies on ITA for airfare searches, argued to Justice Department antitrust lawyers that with ITA’s data and technology Google could gain an unfair competitive advantage because it would, “enable Google to manipulate and dominate the online air travel marketplace. The end result could be higher travel prices, fewer travel choices for consumers and businesses, and less innovation in online travel search.”
It didn’t take Google long to respond from it’s blog, stating that the deal would not result in higher travel prices or fewer choices for consumers because ITA and Google aren’t competitors, and that ITA doesn’t set ticket prices for sell tickets and Google doesn’t plan to either. Google also noted that the three most popular travel websites in the U.S. – Expedia, Priceline and Travelocity – all use data provided by ITAs competitors. (Doh!)
Google said that it won’t be “choosing winners and losers in online travel” because its goal is to build tools that drive more traffic to airline and online travel agency sites and that those tools will create more overall online sales for those sites. And by combining ITA’s ability to analyze data on seat availability and pricing with Google’s search engine could end the “frustrating experience” today’s airfare search, where a “simple two-city itinerary involves literally thousands of different options.”
Sounds a lot like the plot to the popular TV mini-series “V”. The one where aliens move in and say they come in peace, but actually have sinister motives. They claim to only need a small amount of Earth’s resources, in exchange for which they will share their advanced technological and medical knowledge. As a small number of humans begin to doubt the sincerity of the seemingly benevolent aliens, it’s discovered that the aliens have spent decades infiltrating human governments and businesses and are threatening to take over the Earth.
Awesome. Can’t wait to see how the real-life version plays out.
Here’s some more travel news you can use:
The U.S. Department of Transportation announced that starting in April, U.S. airlines will be required to let travelers leave airplanes that have been sitting on the tarmac for 3 hours, provided doing so doesn’t jeopardize safety and security or disrupt airport operations. Airlines that violate the rules face fines of up to $27,500 per passenger.
Under the new rules, carriers must provide passengers with food, such as pretzels or granola bars, as well as potable water within the first two hours a plane is delayed. They also must maintain working lavatories. They also are barred from scheduling chronically delayed flights and required to provide passengers with each flight’s on-time record.
The new measure is tougher than many in the aviation industry expected and represents a significant victory for passenger-rights advocates. Many airline executives had argued against setting a time limit for delays, saying large numbers of travelers could be stranded if carriers cancel flights out of fear of penalties that they otherwise would have flown.
The new rule leaves airlines and airports with little time to resolve a host of logistical issues. One problem is that aircraft lined up for takeoff can’t easily pull out of the line of planes when they reach the time limit. And returning to the gate may create a whole new set of headaches for passengers, who may find themselves stranded overnight rather than for several hours.
Here’s some more travel news you can use:
Expedia.com today announced that they’ve eliminated their $20 booking fee for travel reservations made over the phone. Here’s what the NYTimes reported fr
om their In Transit blog:
“It’s the latest move in a fee war that has been playing out over the past several months among online travel agencies. Earlier this year, Expedia eliminated online fees for changing or canceling car rentals, cruises, hotels and most flights. It also did away with online booking fees for flights. Orbitz and Travelocity quickly followed suit, eliminating flight booking fees in June and later scrapping change and cancel penalties on hotel reservations.
Expedia wouldn’t say exactly what percentage of its bookings are made by phone, but Forrester Research estimates about 10 percent. The move gives Expedia a pricing advantage over airlines, which levy surcharges for phone bookings, said Henry H. Harteveldt, principal travel analyst at Forrester. Still, he does not expect that airlines will match Expedia’s decision.
But how about other online travel agencies? No word yet on whether Orbitz or Travelocity will eliminate their $25 charges for booking flights by phone.”
Here’s some more travel news you can use:

In early October, we noted that American Airlines, United Airlines, Delta Air Lines and US Airways added $10 surcharges to airfare for flights on the Sunday after Thanksgiving, and for Jan. 2nd and 3rd – the busiest days for holiday travel. Well, let’s now make that $20 each way! Delta, American, United, US Airways and Northwest Airlines all announced that they have boosted their surcharge on some routes.
This could have a real financial impact for those traveling with large families during the holidays. For instance, a family of five would have to add $200 to their total cost of travel. That’s not insignificant. In fact, it may be enough to keep some people at home this year.
What do you think? Are these surcharges enough to sink your travel plans? Or will you be flexible around the holidays and travel on off-peak dates?
Here’s some more travel news you can use: