AH&LA Disappointed by DOJ Approval of Expedia-Orbitz Deal
September 17, 2015 9:15am
Deal Restricts Consumer Choice, Hurts Small Hotel Owners, Results in Duopoly
Washington, D.C. – September 17, 2015 – The American Hotel & Lodging Association (AH&LA) issued the following statement on the Department of Justice’s approval of the proposed acquisition of Orbitz by Expedia.
“We are disappointed with today’s announcement by the Department of Justice (DOJ) to approve the proposed acquisition of Orbitz by Expedia. Simply put, this decision will hurt consumers and small business owners, and remove choice from the marketplace.
“By approving this deal, only two players control the online marketplace: Priceline and the behemoth Expedia, now owning Orbitz, Travelocity, Hotels.com, Hotwire, Cheap Tickets, and Trivago. Together, these two players control over 95 percent of the online travel agency (OTA) bookings in the United States. We continue to believe that increased consolidation is bad for consumers and bad for business.
“As we’ve said all along, this transaction will result in significant negative consequences for consumers and also the large number of our members who are small businesses and independent hotels. It could lead to increased distribution costs for independent hotel owners who risk seeing booking commissions rise by double digits.
“We are not alone in our opposition to this deal. Indeed, key members of Congress, including the Chair and Ranking Member of the Senate antitrust subcommittee and vital leaders in the House, along with leading consumer advocates expressed their concerns about consolidation. We encourage these groups to monitor the outcomes of this deal and take appropriate action to protect consumers.
“AH&LA will continue to take action on decisions that we believe will pose harm to our industry and our guests and we will stand up for our small and independent business owners to ensure their voice is heard in an increasingly consolidated marketplace.”
american hotel & lodging association,
Contact: Rosanna Maietta
Contact: Katie Longo
Hotel Tech in 2018: Tools and Technologies to Remove Friction and Deliver Value
AHLA Promotes Brian Crawford to Vice President and Department Head of Governmental Affairs
New Year, New Travel Priorities. Study Says: Experiences Win Over Possessions
AHLA Applauds Final Passage of Tax Reform Legislation
AHLA President and CEO Katherine Lugar's Statement on Senate Passage of Tax Reform Legislation
Hotel Innovators Educate Lawmakers on Capitol Hill, Urge Support for Stop Online Booking Scams Act
AHLA and the Better Business Bureau Team Up to Fight Online Hotel Booking Scams
AHLA Celebrates National Apprenticeship Week by Launching Program and Giving $50,000 Grant
AHLA Praises House for Passing Tax Reform
Attracting the High-Value Bleisure Traveler: Insights for Hotels
Hotel Industry Teams Up With World Wildlife Fund and The Rockefeller Foundation to Reduce Food Waste
New Study Reveals Tax Reform Could Boost Hotel Industry by $131.7B
Millennials Are the Most Vacation Deprived
AHLA Presents $500,000 Youth Grant to Community-Based Organizations to Open Career Pathways in High-Demand Markets
Global OTA Customer: The Value of the International Booker for U.S. Hotel Properties
Business Travelers Are Still Going Rogue With Hotel Bookings
AHLA President, CEO Katherine Lugar Appointed to Federal Task Force on Apprenticeship Expansion
AHLA Applauds Release of Tax Reform Proposal Allows Hotel Industry to Grow, Create New Jobs, Drive Economy
AHLEF Awards Nearly $1 Million in Scholarships to Hospitality Students
ALICE Raises $26 Million Series B Funding from Expedia, Inc.
Please login or register to post a comment.