Duff on Hospitality Law

This week’s Update offers two differing industry perspectives on Google’s DMA compliance efforts.  We also update the status (demise) of TripAdvisor’s much criticized subscription program, TripAdvisor Plus.  Enjoy.

• • Perspectives on Google’s Gatekeeper Efforts.  This past week (March 7) saw D-Day arrive for those platforms designated as “gatekeepers” under the Digital Markets Act (DMA).  On the day before, EU Travel Tech, whose members include most major leisure and managed travel platforms, issued a letter to the European Commission criticizing Google’s changes and complaining that the changes continued to feature Google’s own products and services over those of its members.  According to the industry group, Google’s efforts “fall significant short of compliance, potentially rendering the new rules ineffective.”  At the same time, organizations representing hotels, airlines and restaurants issued their own statements, warning that the changes could drive users away from their members and to large online intermediaries (i.e., OTAs).  According to one statement, several of the industry’s groups could lose as much as 50% of their online traffic to intermediaries.  As it begins its review of the many changes proposed by Google and other gatekeepers (and considers possible enforcement efforts), the EU Commission will have some difficult decisions to make. 
  • TripAdvisor’s Latest.  A few weeks ago we included a story detailing the steps taken by TripAdvisor to evaluate possible future transactions.  This past week, we learned that TripAdvisor’s first possible suitor is John Malone’s Apollo Global Management, a private equity firm with a long history in the travel world (Expedia, AmexGBT, Oceania, Norwegian Cruise Lines and Diamond Resorts).  Last week also marked the official demise of TripAdvisor’s subscription program, TripAdvisor Plus.  Readers of our Update will recall the many stories featured over the past few years (the subscription service was  made widely available in June 2021) detailing the program and suppliers’ (and my) general poor view of the program.