Google to Acquire ITA

Google proclaimed on July 1, that it is going to acquire ITA, the flight information provider organization, via an agreement, which will enhance the information range available on the search engine.

ITA caters to the information queries regarding the services and the costs related to flying. It has access to nearly all the flight information sites across the web including TripAdvisor, Bing, Hotwire, Orbitz, Continental, American Airlines and Alitalia.

The acquisition will be made in a deal, worth $US700 million, wherein Google will be joining hands with all the information availed via ITA into various ventures.

With this, Google will extend its scope even further, in the search-related services.

"The acquisition of ITA will create a new, easier way for users to find better flight information online, encouraging more users to make flight purchases online", said Google.

The agreement indicates that the conventional bricks-and-mortar flight booking channels, which have been suffering a backlash due to the availability of online booking sites, will have to face the troubles all the more.

The regulators in US will scrutinize the effectiveness of the deal in terms of its advantages to customers.

Google explained that one of the most important factors leading to the approval of the deal, is that, Google will be able to generate competition in the market.