Airline Industry Study Defends Orbitz Project

Published: 16 March 2001 y., Friday
"New entrants in travel distribution are being met with substantial opposition from the old guard and from leaders in the online travel marketplace," the report says. "More specifically, the agency community is opposing consumer-direct distribution by travel suppliers, and in particular, attempts to aggregate multiple suppliers onto a single site." Published by Global Aviation Associates, the report accuses the travel-booking industry of mounting a concerted and well-funded lobbying push against Orbitz, in order to protect its profit margins. The report "does restate the idea that Orbitz is bringing some needed competition" to the industry, Orbitz spokesperson Stacey Spencer said today. But travel agents haven't been the only Orbitz detractors. Since news of the airline industry joint Internet venture first surfaced in 1999, consumer advocates, travel industry groups and regulators have expressed concern about the proposed project. A collaborative effort owned jointly by American Airlines, Delta Air Lines, Continental Airlines, Northwest Airlines and United Airlines, Orbitz intends to offer a one-stop-shop for online ticketing. By obscuring the need for travel "middlemen" Orbitz could squeeze other competitors out of the market, Orbitz detractors contend. The Orbitz-funded report goes on to accuse operators of travel industry "global distribution systems" (including Travelocity.com owner Sabre Inc.) of maintaining artificially high ticket-booking prices, in a bid to pad their own profits. The underlying costs for running those systems, which coordinate ticket sales across huge networks, have dropped as prices for computer technology and telecommunications services have fallen. Still, prices associated with global distributions systems (GDS) actually have increased, the report said.
Šaltinis: Newsbytes
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

Microsoft said to halt Surface Mini production

Microsoft reportedly has called off a plan to mass produce its small-size Surface Mini tablet. more »

Microsoft Sleep Study: a tool for Windows 8.1 battery use analysis

Microsoft has built a new tool to help users of Windows 8.1 devices determine the causes of battery drain during the system's sleep mode. more »

Microsoft smartwatch coming in October

A new rumor has just started spreading about Microsoft's entrant into the smartwatch business. more »

Wincor Nixdorf upgrades direct marketing software

Wincor Nixdorf is promoting the new version of its PC/E Direct Marketing software and providing banks with an effective and modern marketing tool to individually address customers on ATMs, self-service terminals or digital signage screens. more »

Hewlett Packard launches the Pro x2 612, a 2-in-1 laptop-tablet hybrid

Hewlett Packard has launched its answer to Microsoft's Surface Pro 3 - its brand-new HP Pro x2 612. This device is the company's first commercial detachable PC. more »

Unisys Stealth Wins TechAmerica 2014 American Technology Award for Cybersecurity

Unisys Stealth has been named the recipient of the TechAmerica Foundation American Technology Award (ATA) in cybersecurity. The ATAs represent outstanding achievement, with winning products exemplifying the “Best of” the United States technology sector. more »

Microsoft’s Skype Translator removes language barrier in video chats

Microsoft showed off a test version of a real-time, spoken-word translation service for Skype calls, the first time the world’s largest software company has demonstrated the breakthrough technology publicly in the United States. more »

Microsoft Showcases Cortana's Understanding of Natural Language Commands

Cortana, Microsoft's answer to Apple Siri and Google Now, was announced at the company's Build conference in April, and is set to arrive on Windows Phone 8.1 devices later this year. more »

Google plans to offer Wi-Fi access equipment to businesses

Google Inc plans to offer Wi-Fi network hardware and software at a discount to small and medium-sized businesses. more »

Dell goes greener with line of PCs made from recycled plastics

Dell is making a line of PCs using plastics obtained by expanding its recycling program. more »