Tuesday, 29 April 2025
26.7 C
Singapore
26.8 C
Thailand
20.1 C
Indonesia
28.5 C
Philippines

Airbnb CEO says AI trip planning is still not ready

According to CEO Brian Chesky, Airbnb will introduce AI-powered customer support this summer but says AI trip planning is not yet ready.

Airbnb is preparing to roll out artificial intelligence (AI) technology, but not in the way many travellers might expect. Instead of using AI to help users plan or book trips, the company will first implement AI in its customer support system.

During its Q4 2024 earnings call on February 8, Airbnb announced that AI-powered customer support will launch later this summer. Co-founder and CEO Brian Chesky explained that AI has the potential to provide exceptional customer service as it can understand multiple languages and process vast amounts of information. Initially, the AI will act as a customer service agent, expanding its capabilities.

Other major companies, including OpenAI and Google, are working on AI-powered agents to handle complex tasks. However, Chesky believes AI trip planning is still in its early stages and not yet ready for widespread adoption.

“Here’s what I think about AI. I think it’s still really early,” Chesky said. “It’s probably similar to… the mid-to-late ’90s for the Internet.”

AI’s future impact on travel

While some companies are already experimenting with AI-powered trip planning, Chesky remains sceptical about its readiness. He stated that AI is not yet ready for “prime time” regarding travel planning. However, he acknowledged that AI will eventually significantly impact the travel industry.

As technology advances, Airbnb plans to expand its AI-powered customer service agent into other areas, including search features. In the long term, Chesky envisions AI evolving into a “travel and living concierge” that can assist users with their entire travel experience.

Beyond customer service, Airbnb has also started using AI internally to improve productivity in its engineering department. However, Chesky urged caution, saying AI has not yet led to a major leap in productivity.

“In a few years, we could see a medium-term impact, such as a 30% increase in technology and engineering productivity,” he noted.

Airbnb sees strong earnings growth

Despite AI’s slow integration into travel planning, Airbnb reported impressive financial results for Q4 2024. The company’s earnings exceeded expectations, leading to a 15% surge in its share price.

Airbnb generated US$2.48 billion in revenue for the quarter, surpassing analysts’ estimates of US$2.42 billion. The company also reported earnings per share of 73 cents, well above the expected 58 cents.

Chief Financial Officer Ellie Mertz suggested that AI could help improve operational efficiency, particularly in customer service. While Airbnb has not explicitly stated whether AI will impact job numbers, Mertz hinted at potential cost savings in payment processing and customer support.

“In terms of 2025 and the outlook there, I would say there are incremental opportunities across our variable costs,” Mertz told investors. “Areas like payment processing and customer service offer opportunities to be more efficient and expand our margins.”

With AI poised to enhance customer support and internal operations, Airbnb remains optimistic about the future role of technology in travel. However, AI-powered trip planning remains on hold for now as the company focuses on refining its customer service capabilities.

Hot this week

Razer Launches Pro Click V2 and V2 Vertical Mice: Blending Gaming and Productivity

Razer's new Pro Click V2 and V2 Vertical mice offer gaming precision and ergonomic comfort, with AI prompt access and long battery life, available now!

GumGum reports digital ads up to 90% more carbon efficient than industry average

GumGum cuts digital ad emissions by up to 90% versus industry norms, using global sustainability standards and Cedara’s carbon reporting tools.

Step inside Brooklyn’s cardboard coworking space for AI chatbots

Step inside Chat Haus, a clever cardboard coworking space for AI chatbots in Brooklyn. It offers a playful take on the future of creativity.

Lian Li’s new Lancool 207 Digital case brings a 6-inch LCD screen to your PC

Lian Li's Lancool 207 Digital PC case brings a bright 6-inch LCD screen to your setup, offering style, function, and full customisation.

xAI’s Grok chatbot now lets you ask questions about what you see

Grok’s new Vision tool lets iPhone users ask questions about what they see. Updates also add real-time voice search and memory features.

India could manufacture all US-bound iPhones by the end of 2026

Apple plans to manufacture all iPhones for the US market in India by the end of 2026 to avoid China tariffs and secure its supply chain.

Razer Launches Pro Click V2 and V2 Vertical Mice: Blending Gaming and Productivity

Razer's new Pro Click V2 and V2 Vertical mice offer gaming precision and ergonomic comfort, with AI prompt access and long battery life, available now!

Nintendo Pop-Up Store and Mario Kart Fun Return to Jewel Changi Airport

Experience the magic of Nintendo at Jewel Changi Airport with the return of the Pop-Up Store and the exciting Mario Kart Jewel Circuit Challenge!

Lian Li’s new Lancool 207 Digital case brings a 6-inch LCD screen to your PC

Lian Li's Lancool 207 Digital PC case brings a bright 6-inch LCD screen to your setup, offering style, function, and full customisation.

Related Articles

Popular Categories