Ron DiLeo
The US government has given online giant Google formal approval to proceed with its purchase of travel technology innovator ITA. The permission, granted by the Department of Justice (DoJ), comes with a number of conditions, however, including that Google must continue to develop ITA's software for existing clients. ITA owns and operates the QPX software, which online travel sites use to conduct searches for air fares, schedules and availability.
Joseph Wayland, deputy assistant attorney general of the DoJ's Antitrust Division, said: "The DoJ's proposed remedy promotes robust competition for air fare websites by ensuring those websites will continue to have access to ITA's pricing and shopping software. The proposed settlement assures that air fare comparison and booking websites will be able to compete effectively, providing benefits to consumers."
Google's entry into the travel sector has been greeted with suspicion by some in the industry, but Ron DiLeo, the Association of Corporate Travel Executives' (ACTE) executive director, said business travel firms should not be concerned as he did not think the search giant was looking to start selling travel. "I think we have nothing to worry about," he said.
Some travel buyers and managers, however, fear that Google will become another source for booking travel outside policy. To this, ACTE's DiLeo said executives need to meet the challenge head on and prove the value of their corporate travel programme. Douglas Quinby, senior director of research at travel industry analysts PhoCusWright, said: "It's difficult to say what the impact on business travel will be."