The antitrust regulators of the European Union issued a warning on Friday regarding Booking Holdings’ proposed acquisition of ETraveli, which could potentially increase the market position of the U.S. company in the online travel agency industry and result in higher costs for hotels.
According to a statement from the European Commission, the hotel OTA market has limited competition and Booking seems to be unaffected by competition from other OTAs, hotels, and end-customers.
Related: Spain Goes After Internet Giant Booking.com
The EU competition watchdog has expressed concern that the deal could strengthen Booking Holdings’ negotiating position with hotels, and potentially reduce demand for lower-cost sales channels, resulting in increased costs for both hotels and customers.
The decision on the deal is set for Aug. 30 by the European Commission.
In November 2021, Booking declared its intention to acquire Etraveli, a private equity firm owned by CVC Capital Partners. Etraveli owns Gotogate and Mytrip brands and a company called TripStack, which provides airline integration services.
Featured News
T-Mobile Faces Class-Action Lawsuit Over Sprint Merger After Appeal Denied
May 16, 2024 by
CPI
Google Faces Backlash Over Introduction of AI-Generated Summaries in Searches
May 16, 2024 by
CPI
CMA Launches Phase 2 Probe into AlphaTheta’s Acquisition of Serato
May 16, 2024 by
CPI
NFL Executive Escapes Testifying in High-Stakes Trial Over Televised Games
May 16, 2024 by
CPI
EU Consumers Lodge Complaint Against Chinese Retailer Temu Over Content Rules Breach
May 16, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Ecosystems
May 9, 2024 by
CPI
Mapping Antitrust onto Digital Ecosystems
May 9, 2024 by
CPI
Ecosystems and Competition Law: A Law and Political Economy Approach
May 9, 2024 by
CPI
Ecosystem Theories of Harm: What is Beyond the Buzzword?
May 9, 2024 by
CPI
Open Ecosystems: Benefits, Challenges, and Implications for Antitrust
May 9, 2024 by
CPI