As it prepares for divorce from the European Union, the U.K. no doubt has bigger priorities than to iron out its governing regulations for airline distribution and global distribution systems. Opting to maintain the status quo, the U.K. has chosen to adopt, upon its March 29 exit from the EU, the European Commission's decade-old computer reservations system code of conduct.
The European Commission on Friday announced it has opened an investigation into Amadeus and Sabre to explore whether the agreements each has with airlines and travel agencies "restrict competition in breach of E.U. antitrust rules."
A European trade body that represents global distribution systems and online travel agencies filed a complaint Thursday with a European watchdog. It alleges that authorities failed to adequately investigate Lufthansa Group's 16 euro global distribution system surcharge and to enforce European Union regulations.
The European Commission is reviewing "all provisions" of its code of conduct for computerized reservations systems, which is the governing regulation for global distribution systems in the European Union.
The European Commission is deliberately "dragging its feet" over an investigation into Lufthansa Group’s €16 surcharge on global distribution system bookings, according to the European Technology and Travel Services Association. The GDS and online travel agency trade body is working with Members of European Parliament, or MEPs, to force a decision from the commission over whether Lufthansa's GDS surcharge breaches European regulations on computer reservations systems, a synonym for GDSs.
In the run-up to Travelport's agreement last month to go private with Siris Capital Group and Evergreen Coast Capital, 10 different "financial sponsors" and five "strategic parties" emerged as potential suitors for the global distribution system operator or its assets.
The Beat reported this month that airline members of the International Air Transport Association will vote in November on whether to accept travel agencies' own payment cards for tickets. It's one of several major issues transforming how travel management companies handle air payments, especially in Europe.
The European Commission today approved Amadeus' $830 million acquisition of Accenture-owned passenger services system Navitaire, announced in July 2015.
In what is likely to be its final publicly filed earnings statement before it goes private, Travelport reported a 4 percent year-over-year decline in worldwide global distribution system segments and a modest rise in net revenue and earnings for the three months ending Dec. 31, 2018.
Global distribution system segments processed by Travelport—including air, hotel, car and rail—fell 4 percent year over year during the third quarter amid "customer headwinds," the company reported Thursday.