New Orbitz Technology Bypasses GDS

Orbitz last week launched its Supplier Link technology with American Airlines, making it the first Internet company to replace all intermediary functionality to book tickets directly with airline reservation systems. The move enables Orbitz to bypass Worldspan, which until now provided the link betwee


Orbitz last week launched its Supplier Link technology with American Airlines, making it the first Internet company to replace all intermediary functionality to book tickets directly with airline reservation systems.

The move enables Orbitz to bypass Worldspan, which until now provided the link between Orbitz and American and collected booking fees in the process.

With Orbitz’s supplier-link model, airlines no longer pay GDS booking fees based on the number of segments. Rather, they pay Orbitz a flat fee for each ticket. There are no rebooking or cancellation fees.

The Worldspan bypass will cut American’s booking fees by 77% for tickets bought via the airline-owned Orbitz.com, the Web site reported.

Orbitz expects to implement the same supplier-link technology with US Airways and two unnamed airlines later this year.

Seven more carriers Alaska, America West, Delta, Hawaiian, Midwest Express, National and United signed agreements for supplier links with Orbitz.

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