Alphabet Inc. Class C (GOOGL.US) launches AI travel planning tool, causing stocks of travel companies such as Expedia (EXPE.US) and Booking (BKNG.US) to drop.

Notice that Alphabet Inc. Class C (GOOGL.US) has launched a new artificial intelligence search tool that can help users plan comprehensive travel itineraries. This tool has put pressure on travel-related stocks, with shares of Expedia (EXPE.US), Booking Holdings (BKNG.US), and Trip.com (TRIP.US) falling nearly 5%. On Monday, Alphabet Inc. Class C introduced a new AI-powered search tool to find flights and hotels and customize travel plans to help travelers find the best prices. This includes an expanded "Flight Deals" search engine in Google Flights, designed for travelers looking for last-minute deals and high-value destinations. Travelers can share their potential travel plans with Alphabet Inc. Class C in AI mode, select "Create via Canvas," and view results in the Canvas side panel. Users can then request more recommendations, flight times, and even pause the search and return later to view results. For users who want to book restaurants, activity tickets, or spa appointments in a simpler way, Alphabet Inc. Class C has introduced an AI mode with agent booking functionality. Users can describe their needs, and the AI mode will search options on multiple websites and complete bookings through platforms like OpenTable, Ticketmaster (LYV.US), StubHub (STUB.US), and Booksy. In the future, travelers will also be able to book flights and hotels directly through Alphabet Inc. Class C's AI mode. Users can compare different options, choose preferences, and then complete bookings through partners like Expedia, Booking Holdings, Choice Hotels (CHH.US), and Marriott International (MAR.US). The company stated in a release: "We are committed to partnering with travel companies of all sizes to make all the best choices easily accessible."