Airbnb embraces a paradox: CEO Brian Chesky says hotels are the future

Airbnb exceeded Wall Street’s expectations, declaring a turnover of $ 3.1 billion in the second quarter – 13% from one year to the next – and an adjusted profit of $ 1.03 per share. Net profit reached $ 642 million and the company has reserved 134 million “nights and experiences”, an annual increase of 7%. Accelerated demand has extended to a global scale, the growth of Latin America and Asia-Pacific, even if the growth of North America is softening.

Investors seemed more to listen to the prudent airbnb advice for the second half of 2025, because managers expect slower income and softer margins due to difficult comparisons from one year to the next and have intensified investments in technology and regulatory compliance. CEO Brian Chesky summoned the increase in hotels competition and the assembly of regulatory pressure on short -term rentals as the current opposite winds, providing for a turnover in the third quarter between $ 4.02 billion and 4.1 billion dollars while confirming intense investments in new initiatives may compress short -term margins.

Investors reacted by sending Airbnb shares down more than 6% after the appeal, the title has dropped by more than 7% since the report on profits.

And about these hotels: Chesky said that Iirbnb will be disputed more directly with this segment of the travel sector.

“We are going to go much more aggressively in hotels,” said Chesky towards the end of the call. He added that Airbnb spoke with hotels from around the world, in particular independent shops and places of sleeping. “We have spent a lot of time watching hotels like a business. We think it’s really convincing, and we think there will be much more to do with hotels on Airbnb.”

Airbnb hotel phase

Above all, the Airbnb call was focused on its expansion “beyond the nucleus”, including hotels. Chesky described it as “and not a strategy or”: Airbnb will retain its emblematic access product while accelerating the supply of the hotel, in particular internationally where it still notes growth opportunities. “A huge percentage of hotels in Europe are self -employed,” said Chesky.

Why change? Airbnb data suggest that many travelers roam the lists of houses, but do not always reserve, citing the lack of availability or preferably for hotel equipment. By integrating the hotels, Airbnb fills the shortcomings of the network, in particular in cities and peak periods, when the domicile options are limited.

The company’s hotel request was offered by Chesky as an example of a successful acquisition. “We have historically focused historically, but we are absolutely open to acquisitions, and we will look at it. And I think that we are now in a better place to consider the acquisitions now that … we have this new extended strategy where we are focused not only on all aspects of the trip, but also to live. ”

It is an open debate for certain communities on Reddit, whether it is a hotel or an Airbnb is the best choice. A thread, R / Travelhacks, presents a discussion on the question of whether there is even a difference at this stage. A commentator wrote that the general consensus seemed to be that airbnbs are better for large groups and hotels for solo trips, although dependent on the location. Admittedly, this is a gap that Chesky and Airbnb would like to see closely.

Hospitality and expansion of lifestyle in technology

Hotels are only part of the Airbnb ambitious remake. Chesky has also described the current efforts to transform Airbnb into what he described as an “AI-STIF application”. The company is betting on its customer service agent powered by AI to stimulate efficiency and personalization.

He said this agent, taking advantage of 13 specialized models formed on tens of thousands of customer interactions, has already managed to reduce the need for 15%human intervention.

Chesky told analysts that he thought that “AI applications” will quickly become dominant – and Airbnb, as a “non -native application”, must transform in this direction.

“We start with customer service. We (IA) (IA) in travel planning,” he said.

Then he described what it might look like.

“He will not only tell you how to cancel your reservation, but he will know what reservation you want to cancel,” said Chesky. “It can cancel it for you, and it can be agentic because it can start looking for and helping you plan and reserve your next trip.”

The CEO described future plans for more in-depth integration of the AI, ranging from the expansion of linguistic support to construction to a platform which can serve as “all application” for travel and experiences.

Chesky concluded the call by strengthening Airbnb’s commitment to innovation and stressing what the company not Become: a commodity. “I don’t think we are going to be the kind of thing where you just have an agent or operator book your airbnb for you, because we are not a commodity. But I think it could potentially be a very interesting generation of leads for Airbnb.”

Earlier on the call, Chesky said that IIRBNB is probably the largest travel brand in the United States and that the current business movements are aimed beyond.

“What we are trying to do is create a platform-a platform that has houses, services, experiences, hotels, of course, and much more. And we will try to expand this platform and continue to (launch) new businesses over and over again. ”

For this story, Fortune Used a generative AI to help an initial project. An editor checked the accuracy of the information before the publication.