Wyndham and Marriott’s Agentic Plans Put Pressure on Booking

<3>The Rise of Large Language Models (LLMs) in the Hotel Industry

The hotel industry is on the cusp of a significant transformation, driven by the increasing adoption of Large Language Models (LLMs) by major hotel chains. Wyndham Hotels & Resorts and Marriott International, two of the largest hotel chains in the world, have announced plans to incorporate LLMs into their operations. This development has sent shockwaves through the industry, particularly for Booking Holdings, the parent company of Booking.com, the largest online travel agency (OTA) in the world.

<3>What are LLMs and How Do They Work?

LLMs are artificial intelligence (AI) systems that can process and generate human-like language. They are trained on vast amounts of data, which enables them to learn patterns and relationships in language. In the context of the hotel industry, LLMs can be used to power chatbots, virtual assistants, and other customer-facing systems.

<3>The Potential Impact on Booking Holdings

Booking Holdings, which owns Booking.com, has long been the dominant player in the OTA space. However, the adoption of LLMs