Online Travel Stocks Rise as OpenAI Shifts Strategy
- tech360.tv
- Mar 6
- 1 min read
Shares of online travel agencies surged following reports that OpenAI is scaling back plans to integrate direct bookings into ChatGPT. This development eases investor fears that artificial intelligence chatbots could eventually bypass travel intermediaries.
Expedia shares were up over 12%, while Booking Holdings and Tripadvisor rose 8% and 5%, respectively. The rally occurred after a report from The Information detailed OpenAI’s findings.
OpenAI reportedly found ChatGPT users researched products within the chatbot but did not complete purchases directly through it. The AI company will instead focus on checkouts within specific third-party applications that plug into ChatGPT, the report stated, citing an OpenAI spokesperson.
Investors and analysts had grown increasingly concerned that generative AI tools could become the dominant platform for planning and booking travel. Such a shift held the potential to bypass intermediaries like online travel agencies.
Bernstein analyst Richard Clarke noted this OpenAI news is incrementally positive for online travel agencies. Clarke added, "This means that Booking and Expedia can continue to get in front of consumers on AI-platforms, lowering the risk of disintermediation."
Expedia and Booking Holdings were among the first companies to integrate with ChatGPT when OpenAI launched its plugins programme in 2023.
Online travel agency shares rose following an OpenAI report.
OpenAI is scaling back direct booking integration into ChatGPT.
The company will focus on checkouts through third-party apps.
Source: REUTERS
