Google gets ITA okay
Source: Agencies |
April 10, 2011, Sunday
|
Print Edition
Print Edition
GOOGLE Inc won United States government clearance with restrictions on Friday for its US$700 million purchase of airline fare tracker ITA Software in a deal that will give the Internet search giant a key role in online travel.
Google promises to give consumers more choices and better ways to search for plane tickets as it incorporates ITA technology, which powers the reservation systems of most major US airlines and many popular online fare-comparison services, including Kayak, TripAdvisor and Hotwire.
The company had to accept significant conditions, though, in a sign that federal antitrust officials are becoming more concerned about whether Google's enormous clout as a major gateway to the Internet has the potential to stifle competition online.
Google agreed to ongoing federal monitoring of its behavior to win government approval. "They clearly decided that they want to keep an eye on Google," said Thomas Barnett, an attorney who represents Expedia Inc, which opposed the ITA deal in a coalition.
"The ability to use search dominance to exclude competitors is not unique to travel," added Barnett.
Google promises to give consumers more choices and better ways to search for plane tickets as it incorporates ITA technology, which powers the reservation systems of most major US airlines and many popular online fare-comparison services, including Kayak, TripAdvisor and Hotwire.
The company had to accept significant conditions, though, in a sign that federal antitrust officials are becoming more concerned about whether Google's enormous clout as a major gateway to the Internet has the potential to stifle competition online.
Google agreed to ongoing federal monitoring of its behavior to win government approval. "They clearly decided that they want to keep an eye on Google," said Thomas Barnett, an attorney who represents Expedia Inc, which opposed the ITA deal in a coalition.
"The ability to use search dominance to exclude competitors is not unique to travel," added Barnett.
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