Thursday, July 01, 2010

Google Buys Travel Software Company

That sound you heard was the screams of frustration coming from Orbitz, Expedia and Priceline.

Google Inc. plans to buy travel technology company ITA Software Inc. in a $700 million deal that would provide the Internet search leader with more comprehensive information about airline flights.

The all-cash deal announced Thursday could signal Google's intention to mount a challenge to other online travel services such as Expedia and Orbitz.

I wonder if they are going to start selling airline tickets as well in a Google Travel Service sort of thing? I bet some airlines would hate it because it would let people search for the lowest fares using Google search technology. Although the idea that the airlines could pay Google for better placement above their rivals might make them feel better. The idea that you could book your flight right from Google sounds pretty good as well. All they need is Google Bank and they can handle everything.

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