A consumer-led federal antitrust lawsuit filed in 2015 against the three major global distribution system operators has not achieved the class action status originally sought by plaintiffs, according to a court order this month.
Travelport and Japan Airlines on June 1 plan to launch a joint venture that will bring Axess—the JAL-owned local market distribution system—and the Travelport Japan K.K. GDS business under one roof.
As the only remaining defendant in a consumer-led lawsuit against the three major global distribution systems, Sabre has moved to settle out of court with each of the remaining plaintiffs.
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.
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."
For several years, Amadeus' global distribution system business was on a tear. In the five years leading up to 2018, it gained a net 5 percentage points in market share of airline bookings processed by major GDSs worldwide to solidify its position as the alpha GDS. Last year, however, Amadeus' air booking share bucked the trend with a rare contraction, albeit by less than a percentage point, the company reported Thursday in full-year and fourth-quarter results.
Evercore ISI equity analysts this week upgraded the outlook for Amadeus but lowered outlooks for its primary competitors: Sabre and Travelport.
Sabre this week filed a motion to dismiss a class action lawsuit stemming from the breach of its Synxis central reservations system, which is widely used by hotels to host reservation data, including payment information.
Amadeus and Travelport have long provided systems that facilitate the distribution of travel content on a global basis. Yet, each has distanced itself from the "global distribution system" tag and all the baggage that comes with it.
Each of the three major global distribution system operators during the past week have reaffirmed their 2016 outlooks in the wake of the United Kingdom's referendum to leave the European Union.