Who Owns Expedia?

Expedia was founded in 1996 by Rich Barton and Lloyd Frink within Microsoft as one of the first online travel agencies. The concept emerged from Microsoft's Expedia Travel Services division, which aimed to apply the company's software expertise to the travel industry. At the time, most travel bookings were made through traditional travel agents or directly with airlines and hotels. The internet was just beginning to enable direct consumer booking.

Microsoft spun off Expedia as a public company in 1999, with an IPO that valued the company at approximately $1.2 billion. Rich Barton served as CEO until 2003. In 2001, IAC/InterActiveCorp, led by Barry Diller, acquired a controlling stake in Expedia. IAC fully acquired Expedia in 2003 and combined it with its other travel holdings, including Hotels.com and Hotwire. In 2005, IAC spun off Expedia Group as an independent public company, separating its travel businesses from IAC's other internet properties.

Throughout the 2000s and 2010s, Expedia Group expanded through acquisitions. The company acquired TripAdvisor in 2004 (later spinning it off in 2011), Orbitz Worldwide in 2015 for $1.6 billion, Travelocity in 2015 for $280 million, and HomeAway (later rebranded as VRBO) in 2015 for $3.9 billion. The company also built Egencia, its corporate travel division, into a significant player in business travel management.

The competitive landscape shifted dramatically with the rise of Booking.com, which overtook Expedia in gross bookings during the 2010s through its merchant model and strong presence in Europe. Airbnb's emergence as a major player in vacation rentals challenged VRBO's market position. Direct booking by hotels and airlines, enabled by their own websites and apps, reduced the share of bookings flowing through OTAs.

In 2020, the COVID-19 pandemic caused a sharp decline in travel demand. Expedia Group's revenue fell from $12.7 billion in 2019 to $5.2 billion in 2020. The company cut approximately 3,000 jobs, approximately 9% of its workforce, and restructured its operations under CEO Peter Kern, who took over in April 2020. Kern oversaw a consolidation of the company's brands and technology platforms, reducing the number of consumer-facing brands from over 20 to a focused portfolio centered on Expedia, Hotels.com, and VRBO.

In 2023, Expedia Group launched the One Key loyalty program, unifying rewards across Expedia, Hotels.com, and VRBO under a single membership. One Key replaced the separate Expedia Rewards and Hotels.com Rewards programs. Members earn OneKeyCash on bookings across all three platforms, which can be redeemed for future travel.

Ariane Gorin became CEO in June 2024. Under her leadership, the company has focused on growing B2C bookings, expanding the One Key program, and investing in AI-powered travel planning tools. The company launched a new Expedia app in 2024 with AI itinerary planning features and improved search functionality.

In full-year 2025, Expedia Group reported revenue of $12.6 billion, up 7% from 2024. Gross bookings reached $111 billion. Room nights stayed grew 10%, driven by international expansion and the One Key program. In Q1 2026, revenue grew 9% to $3.2 billion, with B2C revenue growing 11%. The One Key program surpassed 40 million members. The company's B2B business, Expedia for Business, continued to grow, powered by the Expedia Group Technology platform that provides travel inventory to third-party partners.