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Five states show India how an economic recovery is done right

States like Tamil Nadu and Punjab, contributing nearly 27% of India's GDP have seen a pickup in activity.


02 June, 2020, 07:55 PM IST



Hotels vs. Airbnb: Has COVID-19 disrupted the disrupter?

The tidal wave of cancellations that came along with COVID-19 suddenly made travelers aware of the wide range of terms in bookings — from no-penalty, last-minute cancellations to full liability even months in advance of a trip.

Airbnb is cutting 25% of staff amid global travel slump

The San Francisco-based startup, which was poised to be the blockbuster stock listing...

Indian hosts and superhosts also beneficiaries of global payouts: Airbnb

Indian hosts are also beneficiaries of Airbnb's global $250 million ...

  • Though Airbnb has cash on hand, additional funds could allow it to snap up businesses that struggle to survive the crisis, one of the people said. Startups have been slashing jobs and the layoffs are expected to spread as the lockdown continues.

    The difficulties Airbnb is facing have become increasingly apparent over the past few weeks. The company has contended with frustrated customers who demanded refunds for canceled trips, while also trying to find ways to support its “hosts,” the people who rent their homes on its site.

    Scott McNealy, who co-founded Sun Microsystems Inc. and then sold it to Oracle Corp. for $7.4 billion in the wake of the financial crisis, said the current downturn is the right moment to launch a business.

    On Monday, Airbnb Inc. announced it had raised $1 billion in debt and equity securities from Silver Lake, the tech buyout giant, and Sixth Street Partners.

    Uber has lost about 20% of its market value since the end of trading on on Feb. 26, and Airbnb’s board considered revising its plan to go public at a recent meeting. But executives from both companies have focused on drivers and hosts when working the phones to secure some government relief.

    The amended Finance Bill, which was approved by Parliament on Monday, with effect from April 1, an equalisation levy of 2% will be applicable on sales made by foreign ecommerce companies operating in Asia’s third-largest economy.

    Lyft said rides on its service fell nearly 80% in late March and remained down 75% in mid-April. In May, passengers began to return cautiously to Lyft, but rides were still down 70%, Lyft executives said on a Wednesday earnings call with financial analysts.

    Uber instituted a hiring freeze in March, withdrew its financial forecast and wrote down some $2 billion worth of investments in April and said Monday it would shutter food delivery operations in seven countries.

    Even before the pandemic sent the global travel industry into a nosedive, Airbnb faced financial challenges. In the last three months of 2019, it lost $276.4 million excluding interest, taxes, depreciation and amortization, compared with a loss of $143.7 million a year earlier

    The home-rental startup has been approached by a dozen potential investors, according to the people, all of whom asked not to be identified discussing private information.

    While the policy applies to bookings and Airbnb Experiences all around the globe, it excludes domestic travel in mainland China which is expected to return to normal rules on April 1.

    The San Francisco-based company announced Friday that guests would now be eligible for full refunds for reservations in the U.S. booked on or before Friday with a check-in date of April 1 or earlier.

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