Rather Than Innovate, Sue Them

Inside the Hotel Industry’s Plan to Combat Airbnb:

Last year, Airbnb underwent a rough regulatory patch.

The short-term rental company became a Federal Trade Commission target last summer after three senators asked for an investigation into how companies like Airbnb affect soaring housing costs. In October, Gov. Andrew M. Cuomo of New York signed a bill imposing steep fines on Airbnb hosts who break local housing rules.

The two actions appeared unrelated. But one group quietly took credit for both: the hotel industry.

In a presentation in November, the American Hotel and Lodging Association, a trade group that counts Marriott International, Hilton Worldwide and Hyatt Hotels as members, said the federal investigation and the New York bill were “notable accomplishments.”

Rather than innovate and make booking a hotel room as easy as booking an Airbnb, the hotel industry would rather snitch on Airbnb, form alliances with politicians, and sue them out of existence.

It’s the American way!

I’m not suggesting Airbnb isn’t capable of, or hasn’t engaged in shady business practices like Uber, I’m just saying fighting upstart rivals can’t be the only tool in your box.

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