Business Travel iQ
Ever since its acquisition of flight information software company ITA for US$700 million in 2010, the travel industry has been nervous.
After all, it was Expedia chairman Barry Diller who was one of the first publicly to raise questions about Google's motives for the purchase. The industry has certainly been keeping a watchful eye on Google Flight Search.
The leap from being a search site to a booking one isn't great and once a player with the size and capability of Google enters the travel transactions business, it could be a very different game indeed.
But today the EU filed a complaint about Google and its alleged anti-competitive behaviour. The basis of the argument is that Google directs users towards its products. Content aggregator sites such as Expedia worry that Google is sending people directly to the supplier sites rather than to them.
Whatever the truth, Google accounts for 90% of searches so it can legitimately be considered dominant. If the suit — prompted by complaints by companies such as Expedia and TripAdvisor — is successful, Google will face billions in fines and the travel industry will face one fewer potential competitor for the time being.