Booking CEO Touts Ties With Independent Hotels as Agentic AI and Airbnb Seek Gains

Why It Matters

The move underscores Booking’s strategy to protect its market share by leveraging independent‑hotel relationships and AI investment, while the stock split could attract a wider pool of investors amid intensifying industry disruption.

Key Takeaways

• Independent hotels drive majority of Booking.com bookings
• AI agents and Airbnb intensify competition
• 25‑1 stock split targets retail investors
• Connected‑trip bookings showing strong growth
• Layoff savings redirected to AI development

Pulse Analysis

Booking.com’s reliance on independent hotels remains a cornerstone of its business model, delivering the majority of room‑night volume across the platform. These properties, unlike large chains, depend heavily on the OTA’s technology stack, multilingual support, and extensive payment options. By positioning itself as a value‑added partner, Booking can lock in loyalty and pricing power that larger competitors struggle to replicate, reinforcing its dominance in the fragmented hospitality landscape.

At the same time, the travel ecosystem is being reshaped by agentic AI tools that promise hyper‑personalized itineraries and instant booking capabilities. Airbnb’s recent push into the independent‑hotel market adds another layer of competitive pressure, as it leverages its brand cachet and data insights to attract the same hotel partners. Booking’s response—investing heavily in AI, enhancing its connected‑trip ecosystem, and emphasizing superior customer service—aims to counteract these threats by delivering a seamless, data‑driven experience that AI‑only platforms may lack.

Financially, the 25‑1 stock split signals confidence in the company’s long‑term growth trajectory and seeks to democratize ownership among retail investors. Coupled with cost‑saving measures from recent layoffs, the freed capital is being redirected toward AI research, automation, and strategic initiatives that could unlock new revenue streams. This dual focus on technological innovation and broader shareholder participation positions Booking Holdings to navigate the evolving travel market while preserving its core advantage of deep independent‑hotel relationships.

Booking CEO Touts Ties With Independent Hotels as Agentic AI and Airbnb Seek Gains

By Dennis Schaal · Yesterday at 11:40 PM UTC

Key Points

• Booking Holdings CEO emphasized the company's strong relationships with independent hotels amid rising competition from AI agents and Airbnb.

• A 25‑1 stock split was announced, making Booking shares more accessible to small investors.

• Connected‑trip bookings are rising significantly, and cost savings from layoffs are being reinvested into AI and strategic priorities.

Summary

Booking Holdings CEO Glenn Fogel highlighted the company's deep partnerships with independent hotels, which make up the majority of its bookings, as the company faces increasing competition from AI‑powered travel agents and Airbnb’s push into the independent‑hotel market. Booking is leveraging its technical expertise, customer service, and local partner support to maintain its edge. The company also announced a 25‑1 stock split to make shares more affordable and reported notable growth in connected‑trip bookings. Cost savings from recent layoffs and other cuts are being reinvested in AI and other strategic initiatives for future growth.

Skift Take

We sometimes think of independent hotels as relatively powerless given the strength of the OTAs and the big hotel chains. Will agentic AI turn the tables?

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Booking Holdings CEO Glenn Fogel talked up the company’s relationships with independent hotels as AI platforms and Airbnb threaten to cut in on this vital part of Booking’s business.

Independent hotels provide “the vast majority” of Booking.com’s room nights, Fogel told analysts during an earnings call Wednesday. The ten largest global‑chain hotels account for “only a low double‑digit percentage.”

Fogel said Booking.com provides technical expertise to independent hotels, such as customer service and making available more than 100 payment types and over 50 currencies.

There are competitive threats to…

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Curated by Dennis Schaal

Executive Editor, Very Online – your source for news about online travel, from startups to the biggest online travel agencies.