Airbnb Adds Rental Cars, Challenging Expedia and Booking

Airbnb is now in the rental car business, the hotel business (again), the landmark experiences business, the grocery delivery business, the airport pickup business, and the luggage storage business. All of it was announced Wednesday by CEO Brian Chesky as part of the company’s annual Summer Release in San Francisco. 

For the newest of the offerings, users will be able to book rental cars directly through the Airbnb app for the first time, the company said. It’s the company’s first move into ground transportation, a category that rivals Booking Holdings and Expedia Group have used for years to bundle trips and keep travelers inside their booking ecosystems. 

About a quarter of Airbnb guests rent a car during their stay, the company said. Until now, those bookings happened elsewhere. The release extends a strategy Chesky laid out in September, when he told investors that artificial intelligence had put mature industries Airbnb had previously avoided