JetBlue president says airlines should follow customers’ lead on AI booking agents
FILE PHOTO: A JetBlue Airlines commercial aircraft flies over Washington as it approaches to land at Dulles International Airport, as seen from Washington, U.S., August 5, 2024. REUTERS/ Umit Bektas/File Photo
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NEW YORK, Nov 11 : JetBlue Airways’ President Marty St. George said on Wednesday that he understands why airlines may be wary of artificial intelligence-powered travel intermediaries, after United Airlines said it would restrict AI bots’ access to its digital platforms.
United cited data security concerns in its move to block bots, one of the airline industry’s clearest signs of resistance to AI agents that are increasingly capable of planning and booking trips on travelers’ behalf.
St. George said he fears that one day intermediaries could eventually seek compensation for directing bookings, creating a new cost for airlines in an industry where profitability remains elusive.
“I can see why the concept of intermediary may be intimidating for a lot of people,” St. George said at the Skift Commerce Summit in New York on Wednesday, adding that the AI industry is likely to attract “a trillion dollars of capital” and “someone’s going to have to pay for that.”
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“That’s money we’re not spending today. And again, unprofitable company, unprofitable industry, that’s intimidating,” he said.
JetBlue, which has about $8.4 billion in debt and finance lease obligations, has not posted an annual profit since 2019.
United said customers who share account credentials with third-party AI assistants could expose sensitive information and risk unintended purchases, account modifications or unauthorized use of frequent-flyer miles.
Despite those concerns, St. George said airlines should adapt if customers embrace AI-based booking tools.
“We should be responsible for what customers want,” he said. “If customers really think that’s a better way to do it, we need to figure out how to meet them where they are.”
St. George said JetBlue also prefers maintaining direct relationships with customers because it allows the carrier to better market the full range of its products. He drew parallels with online travel agencies, which he described as another distribution channel that carries costs for airlines and aren’t always beneficial. “It’s a channel that has a cost, which jetblue.com does not,” he said.
Source: Reuters
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