Expedia Group
{{Short description|American online travel shopping company}}
{{Use mdy dates|date=August 2017}}
{{Infobox company
| name = Expedia Group, Inc.
| logo = Expedia Group logo.svg
| image =
| image_size =
| image_caption =
| former_name = Expedia, Inc.
| type = Public
| traded_as = {{ubl|{{NASDAQ|EXPE}}|S&P 500 component}}
| ISIN = {{ISIN|sl=n|pl=y|US65248E2037}}
| founder = Rich Barton
| key_people = {{ubl|Barry Diller|(chairman and senior executive)|Ariane Gorin|(vice chairman and CEO)}}
| predecessor = Liberty Expedia Holdings
| industry = Travel technology
| products = {{Flatlist|
- Expedia
- Hotels.com
- Vrbo
- Travelocity
- Hotwire.com
- Orbitz
- Ebookers
- CheapTickets
- CarRentals.com
- Expedia Cruises
- Wotif
- Trivago
- Expedia Group Media Solutions
- Expedia Group Partner Solutions
}}
| revenue = {{increase}} {{US$|13.69 billion|link=yes}} (2024)
| operating_income = {{increase}} {{US$|1.319 billion}} (2024)
| net_income = {{increase}} {{US$|1.234 billion}} (2024)
| assets = {{increase}} {{US$|22.39 billion}} (2024)
| equity = {{increase}} {{US$|2.799 billion}} (2024)
| num_employees = 16,500 (2024)
| parent =
| hq_location = Seattle, Washington, U.S.
| founded = {{start date and age|1996|10|22}} (as a division of Microsoft)
| website = {{URL|expediagroup.com}}
| footnotes = {{cite web |url=https://www.sec.gov/ix?doc=/Archives/edgar/data/1324424/000132442425000008/expe-20241231.htm |title=Expedia Group, Inc. 2024 Annual Report (Form 10-K) |date=February 7, 2025 |publisher=U.S. Securities and Exchange Commission}}
}}
Expedia Group, Inc. is an American travel technology company that owns and operates travel fare aggregators and travel metasearch engines, including Expedia, Hotels.com, Vrbo, Travelocity, Hotwire.com, Orbitz, Ebookers, CheapTickets, CarRentals.com, Expedia Cruises, Wotif, and Trivago. Over 3.5 million lodging facilities and flights on over 500 airlines are bookable on the company's websites. It has 16,500 employees, and its headquarters are located in Seattle, Washington.
The word "Expedia" is derived from a combination of "exploration" and "speed".{{Cite news | url=https://www.forbes.com/advisor/credit-cards/travel-rewards/expedia-rewards-guide/ | title=Expedia Rewards: The Complete Program Guide | first=Becky | last=Pokora | work=Forbes | date=November 3, 2022}} The company is listed on Nasdaq under the ticker symbol EXPE.
History
Founded as a division of Microsoft in October 1996,{{Cite web |url=https://news.microsoft.com/1996/10/22/microsoft-expedia-travel-services-debuts-on-the-web/ |title=Microsoft Expedia Travel Services Debuts on the Web | work=Microsoft | date=October 22, 1996 }} Expedia was spun off into a public company in 1999.{{Cite news | url=https://www.sfgate.com/business/article/Microsoft-to-Spin-Off-Expedia-2905140.php|title=Microsoft to Spin Off Expedia |last=Stein |first=Tom |website=SFGate|date=September 24, 1999}} IAC, known at the time as USA Networks Inc, acquired a controlling interest in the company in 2001{{Cite news |url=https://money.cnn.com/2001/07/16/technology/expedia/index.htm|title=USA Networks to buy control of Expedia | work=CNN |date=July 16, 2001}} and acquired the remainder of the company in 2003.{{cite news |title=Big Holder Buying Rest Of Expedia In Stock Deal | url=https://www.nytimes.com/2003/03/20/business/big-holder-buying-rest-of-expedia-in-stock-deal.html | first=Saul |last=Hansell | work=The New York Times |date=March 20, 2003 | url-access=limited}} In August 2005, IAC spun off the company.{{cite news | url=https://www.travelweekly.com/Travel-News/Online-Travel/IAC-completes-spinoff-of-Expedia-travel-group | title=IAC completes spinoff of Expedia travel group | work=Northstar Travel Group | date=August 10, 2005}} In December 2011, Expedia, Inc. spun off TripAdvisor.{{cite press release |title=Expedia, Inc. Completes Spin-off of TripAdvisor, Inc. | url=https://www.prnewswire.com/news-releases/expedia-inc-completes-spin-off-of-tripadvisor-inc-135968313.html | publisher=PR Newswire |date=December 20, 2011}}
=Management history=
In 2003, Rich Barton resigned as CEO and was replaced by Erik Blachford.{{Cite news | url=https://www.latimes.com/archives/la-xpm-2003-feb-06-fi-rup6.11-story.html | title=Expedia Profit Soars; CEO Barton Resigns | agency=Bloomberg News | work=Los Angeles Times | date=February 6, 2003}}
In December 2004, Dara Khosrowshahi was announced as CEO.{{Cite press release | url=https://www.sec.gov/Archives/edgar/data/891103/000110465904036114/a04-12872_3ex99d1.htm | title=Dara Khosrowshahi to Succeed Erik Blachford as IAC Travel CEO | publisher=U.S. Securities and Exchange Commission | date=November 9, 2004}}
In March 2017, Chelsea Clinton was named to the board of directors of Expedia, with compensation of $45,000 a year in cash, plus $250,000 a year in stock vesting over three years.{{cite news | url=https://money.cnn.com/2017/03/17/news/companies/expedia-chelsea-clinton-board-of-directors/index.html | title=Expedia names Chelsea Clinton to board of directors | first=Jackie | last=Wattles | work=CNN | date=March 17, 2017}}
In August 2017, Mark Okerstrom became the President and CEO of Expedia, Inc.{{cite news |title=Expedia, Inc. Announces New CEO |url=https://www.prnewswire.com/news-releases/expedia-inc-announces-new-ceo-300511837.html |publisher=PR Newswire | date=August 30, 2017}}
In December 2019, Mark Okerstrom and Alan Pickerill resigned as CEO and CFO, respectively. At that time, Expedia Group's chairman, Barry Diller, took over day-to-day operations, while the Chief Strategy Officer, Eric Hart, became acting CFO.{{cite news |title=Expedia boots out CEO and CFO, puts Barry Diller in charge |url=https://www.nbcnews.com/business/business-news/expedia-boots-out-ceo-cfo-puts-barry-diller-charge-n1095426 |agency=NBC News |date=December 4, 2019}}
In February 2020, Expedia announced it was cutting 3,000 jobs, roughly 12% of the workforce, citing a "disappointing 2019". Diller, in his role as acting CEO, stated the company had become "sclerotic and bloated" and that employees were "all life and no work".{{Cite news |title=Expedia cutting 3,000 jobs following 'disappointing' year |url=https://www.cnbc.com/2020/02/24/expedia-cutting-3000-jobs-following-disappointing-year.html |last=Rosoff |first=Matt |work=CNBC |date=February 25, 2020}}
In April 2020, Peter Kern was appointed as CEO of Expedia Group. He was the highest paid CEO in the S&P 500 in 2021, with $296 million in total compensation.{{Cite web|title=Men dominated 2021 ranks of highest-paid CEOs in S&P 500 |url=https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/men-dominated-2021-ranks-of-highest-paid-ceos-in-s-p-500-73726847 |last=Hudgens |first=Chris |website=S&P Global |date=January 23, 2023}}
In May 2024, Ariane Gorin was appointed as CEO of Expedia Group.
=Office and headquarters history=
In 2015, Expedia announced that it would move its headquarters to the Interbay neighborhood of Seattle, purchasing the Amgen campus on the Elliott Bay waterfront for $228.9 million and investing an additional $900 million on renovation and expansion of the {{convert|41|acre|ha|adj=mid}} campus to {{convert|1.23|e6sqft|sqm}}. The first employees moved into the new headquarters in October 2019.{{Cite news | url=https://www.seattletimes.com/business/real-estate/expedia-campus-opens-next-week-to-first-employees-the-wi-fi-rocks-await/ | title=Expedia campus opens next week to first employees — the Wi-Fi rocks await | first=Katherine Anne | last=Long | work=The Seattle Times | date=October 2, 2019}}
In 2021, Expedia built a new campus in DLF Cyber Park, Gurugram, India.{{Cite AV media | url=https://www.youtube.com/watch?v=HYrUy3Kqwg8 | title=Expedia New Office | via=YouTube | date=September 9, 2021}}
=Acquisition history=
In July 2015, Expedia made an investment in Wingz.{{cite news |url=https://www.forbes.com/sites/jeanbaptiste/2016/01/25/ceo-tech-talk-wingz-raises-11-million-to-disrupt-airport-shuttle-rides-plans-nationwide-expansion/ |title=Wingz Raises $11 Million To Disrupt Airport Rides, Plans Nationwide Expansion| work=Forbes | first=Jean-Baptiste | last=Su | date=January 25, 2016}}
=Divestitures=
Criticism and legal issues
=Delays in refunds of flights cancelled due to COVID-19=
In 2020, during the COVID-19 pandemic, customers complained regarding the process to get refunds for cancelled flights. Customers complained of excessively long call times and being unable to get through to a representative.{{Cite news | url=https://www.wftv.com/news/action9/consumers-grow-frustrated-with-expedia-over-covid-19-refunds/LRJUN2R3EFGFPDUVAPF3XTNBLU/ | title=Consumers grow frustrated with Expedia over COVID-19 refunds | first=Todd | last=Ulrich | work=WFTV | date=February 5, 2021}} This led to many lawsuits.{{cite news | url=https://www.usatoday.com/story/travel/news/2020/09/09/expedia-sued-refusing-refunds-pandemic/5763768002/ |title=Traveler sues Expedia for refusing refunds on canceled flights during COVID-19 pandemic |work=USA Today | date=September 9, 2020}}{{cite news |url=https://www.courthousenews.com/hotels-accuse-expedia-orbitz-of-brazen-deceit/ | title=Hotels Accuse Expedia, Orbitz of Brazen Deceit | work=Courthouse News Service | first=MATTHEW | last=RENDA | date=August 19, 2016}}
=Involvement in Israeli settlements=
{{See also|List of companies operating in West Bank settlements}}
On February 12, 2020, Expedia Group was included on a list of companies operating in West Bank settlements involved in activities that "raised particular human rights concerns" published by the United Nations Human Rights Council. The company was categorized under "the provision of services and utilities supporting the maintenance and existence of settlements".{{cite news | title=UN rights office issues report on business activities related to settlements in the Occupied Palestinian Territory | url=https://www.ohchr.org/EN/NewsEvents/Pages/DisplayNews.aspx?NewsID=25542 | work=Office of the United Nations High Commissioner for Human Rights | date=February 12, 2020 }}{{cite news | title=Database of all business enterprises involved in certain activities relating to Israeli settlements in East Jerusalem and the West Bank (A/HRC/43/71) | url=https://reliefweb.int/report/occupied-palestinian-territory/database-all-business-enterprises-involved-certain-activities | work=ReliefWeb | date=February 14, 2020}}
=False advertising and trademark violation=
In August 2016, Buckeye Tree Lodge and Sequoia Village Inn, LLC filed a class-action lawsuit in California accusing the company and its partners of violating trademark rights of numerous independent hotel and motel establishments by running advertising implying that consumers could book reservations for those hotels on Expedia even though Expedia had no relationship with those hotels, in violation of the Lanham Act, and also falsely noting that hotels with which the company had no relationship were "sold out".{{cite web |url=https://dockets.justia.com/docket/california/candce/3:2016cv04721/302190 |title=Buckeye Tree Lodge and Sequoia Village Inn, LLC v. Expedia, Inc. et al |work=Justia |date=August 17, 2016}} In April 2021, the lawsuit was settled and the company promised not to engage in false advertising.{{cite news |url=https://www.courthousenews.com/expedia-settles-false-advertising-class-action-with-hotels/ |title=Expedia Settles False Advertising Class Action With Hotels | first=NICHOLAS | last=IOVINO | work=Courthouse News Service | date=April 9, 2021}}
=Australian false advertising suit=
{{main article|Trivago#Legal issues}}
=South Carolina sales tax suit=
In January 2011, Travelscape, a subsidiary of Expedia Inc. based in the Las Vegas Valley, was ordered to pay $6.3 million in back sales taxes to South Carolina by the South Carolina Supreme Court. Travelscape argued that South Carolina's efforts to tax online retailers located out-of-state violate the Dormant Commerce Clause. In a unanimous ruling, the court determined that, while Travelscape does not have physical facilities in South Carolina, frequent sales trips made by its employees and the fact that the company furnished hotel rooms in the state establish its presence for tax purposes and is sufficient to be required to pay sales tax.{{Cite news | url=https://www.reviewjournal.com/crime/courts/travelscape-ordered-to-pay-south-carolina/ | title=Travelscape ordered to pay South Carolina | work=Las Vegas Review-Journal | date=January 21, 2011}}
Notes
{{NoteFoot}}
References
{{reflist}}
External links
- {{Official website|https://www.expediagroup.com}}
{{Finance links
| name = Expedia Group, Inc.
| symbol = EXPE
| sec_cik = 1324424
| yahoo = EXPE
| google = EXPE:NASDAQ
}}
{{Expedia, Inc.}}
{{Seattle Corporations}}
{{Authority control}}
Category:1999 initial public offerings
Category:2003 mergers and acquisitions
Category:American companies established in 1996
Category:Companies based in Seattle
Category:Companies listed on the Nasdaq
Category:Former Microsoft subsidiaries
Category:Hospitality companies established in 1996
Category:Internet properties established in 1996
Category:Online retailers of the United States
Category:Online travel agencies