Uber is reportedly exploring an Expedia takeover
Uber is reportedly exploring the idea of purchasing Expedia, one of the largest travel booking companies in the world, according to the Financial Times. Expedia, which is valued at $20 billion and which reported its highest-ever annual revenue in 2023, will be the company’s biggest acquisition, if the deal does indeed push through. The Times says it’s very early days, however, and Uber hasn’t even made a formal offer for the travel company yet. It’s still in the process of studying the implications of acquiring Expedia and has, over the past months, worked with advisers to figure out whether the deal is feasible and how it would be structured.
The company’s CEO, Dara Khosrowshahi, may have to sit out deal discussions, seeing as he used to be CEO of Expedia before he was hired by the ride-hailing service in 2017. He’s still in its Board of Directors, as well. It doesn’t sound like Khosrowshahi was the one who suggested the potential purchase, though — in its report, the Times said the idea was “broached by a third party.”
Uber has had plans to become a wider travel booking platform for a while now. Khosrowshahi said he wanted Uber to be the “Amazon of transportation” from the time he joined the company. Since then, the ride-hailing service has added train, bus and flight bookings in some markets, and it has also made several large acquisitions. It purchased online food delivery service Postmates for $2.65 billion and alcohol delivery service Drizly for $1.1 billion before shutting it down three years later. The company also teamed up with Waymo and Cruise to offer autonomous rides in certain markets. As the Times notes, Uber became profitable for the first time in 2023 due to a renewed demand for rides and food delivery and could be a in a good position to acquire a company as big as Expedia. This article originally appeared on Engadget at https://www.engadget.com/big-tech/uber-is-reportedly-exploring-an-expedia-takeover-120038754.html?src=rss
Uber is reportedly exploring the idea of purchasing Expedia, one of the largest travel booking companies in the world, according to the Financial Times. Expedia, which is valued at $20 billion and which reported its highest-ever annual revenue in 2023, will be the company’s biggest acquisition, if the deal does indeed push through. The Times says it’s very early days, however, and Uber hasn’t even made a formal offer for the travel company yet. It’s still in the process of studying the implications of acquiring Expedia and has, over the past months, worked with advisers to figure out whether the deal is feasible and how it would be structured.
The company’s CEO, Dara Khosrowshahi, may have to sit out deal discussions, seeing as he used to be CEO of Expedia before he was hired by the ride-hailing service in 2017. He’s still in its Board of Directors, as well. It doesn’t sound like Khosrowshahi was the one who suggested the potential purchase, though — in its report, the Times said the idea was “broached by a third party.”
Uber has had plans to become a wider travel booking platform for a while now. Khosrowshahi said he wanted Uber to be the “Amazon of transportation” from the time he joined the company. Since then, the ride-hailing service has added train, bus and flight bookings in some markets, and it has also made several large acquisitions. It purchased online food delivery service Postmates for $2.65 billion and alcohol delivery service Drizly for $1.1 billion before shutting it down three years later. The company also teamed up with Waymo and Cruise to offer autonomous rides in certain markets. As the Times notes, Uber became profitable for the first time in 2023 due to a renewed demand for rides and food delivery and could be a in a good position to acquire a company as big as Expedia.
This article originally appeared on Engadget at https://www.engadget.com/big-tech/uber-is-reportedly-exploring-an-expedia-takeover-120038754.html?src=rss