Gen AI reshapes the rules for online travel agencies, challenging their long-held advantages
Oct 14, 2025
Online travel agencies like Booking Holdings have weathered past tech disruptions, but the rise of generative AI presents a deeper test. Analysts remain confident in Booking’s fundamentals, yet even company executives admit that AI could redraw the industry map — especially as agentic AI systems start to handle bookings themselves.
Key takeaways
- Analyst confidence in Booking: BTIG’s Jake Fuller views ChatGPT’s integration of a Booking.com app as positive and maintains a “buy” rating, citing Booking’s vast data, connectivity, and payments infrastructure.
- AI disruption acknowledged: Booking’s CFO Ewout Steenbergen concedes that generative AI poses real disruption risks but argues that replicating the company’s 4 million-property network and fulfillment ecosystem would be extremely difficult.
- Evolving OTA role: The first Booking and Expedia ChatGPT apps are basic; future versions could include agentic AI functions that execute travel tasks autonomously.
- Skepticism from industry observers: Skift’s Rafat Ali doubts these early integrations represent the future, suggesting AI-native travel models will emerge instead of simple chat-based extensions.
- Uncertain landscape ahead: With generative AI advancing rapidly, it’s unclear whether OTAs will remain dominant partners or become intermediaries replaced by AI-powered platforms.
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