Why Priceline Bought Kayak

While there's little doubt that priceline.com (Nasdaq: PCLN  ) paid a premium when it bid $1.8 billion for recently public Kayak Software (Nasdaq: KYAK  ) , there's value in the search data Kayak possesses. Think about it. By querying every type of database imaginable in the quest for deals, Kayak's engine has built a storehouse of travel intelligence not unlike what Google (Nasdaq: GOOG  ) has created in its indexing of the Web, and that's bad news for incumbents Orbitz Worldwide (NYSE: OWW  ) and Expedia (Nasdaq: EXPE  ) . Find out more in the video below.

While data is no doubt driving this buy, Internet software and services are being consumed in radically different ways and on new and increasingly mobile devices. Priceline should benefit from Kayak's popular mobile app, but will it be enough to put the company on the right side of the mobile revolution? Check out the changing landscape and meet the company that Motley Fool analysts expect to lead "The Next Trillion-Dollar Revolution." Click here for instant access to this free report.


Read/Post Comments (0) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2107070, ~/Articles/ArticleHandler.aspx, 10/21/2014 2:42:00 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement