Travel agents will have to change their business models
when a new generation of US technology entrants hit the global
market, according to Star Alliance chairman Graham
Atkinson.
Atkinson, also United Airlines senior vice-president
international and alliances, said three global distribution system
new entrants, or ‘GNEs’, have emerged in the US and
threaten the historically stable environment of traditional GDS
suppliers. He said G2 Switchworks, Farelogix, and ITA Software are
“the low-cost carriers of the GDS world”.
Set to launch by 2007, the GNEs promise web-based systems that
will cut airline distribution costs by millions, he said.
Atkinson claimed agents may find revenue from GDS contracts cut
or removed altogether when the GDS environment deregulates and
evolves.