In the battle of propaganda videos, Google fires back at the FairSearch.org consortium who look to gain public support in blocking the Google ITA acquisition.
Google (GOOG) makes its case that acquiring ITA won’t adversely affect competition and makes the statement: “[Google] won’t be setting airfare prices and has no plans to sell airline tickets to consumers”. Google may “help” airlines sell tickets to their customers, however, and make a few bucks on each transaction. That would keep Google true to its word and at the same time eliminate the need for customer service offerings that Expedia and Orbitz currently offer. That means Google will be competing more directly with Hotwire and Kayak who do this very thing.
Google’s bullet points:
- Google’s acquisition of ITA Software will create a new, easier way for users to find better flight information online, which should encourage more users to make their flight purchases online.
- The acquisition will benefit passengers, airlines and online travel agencies by making it easier for users to comparison shop for flights and airfares and by driving more potential customers to airlines’ and online travel agencies’ websites. Google won’t be setting airfare prices and has no plans to sell airline tickets to consumers.
- Because Google doesn’t currently compete against ITA Software, the deal will not change existing market shares. We are very excited about ITA Software’s QPX business, and we’re looking forward to working with current and future customers. Google will honor all existing agreements, and we’re also enthusiastic about adding new partners.