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Friday, July 02, 2010
Google and ITA Software Sign Acquisition Agreement

Google said Thursday that it would buy ITA Software for $700 million in cash, but acknowledged the acquisition could hit turbulence.

ITA Software is a flight information software company. ITA is used by airlines, travel agents and websites such as Hotwire and Microsoft?s Bing. It offers flight times, availability and prices.

"ITA's very talented team has created an impressive product to organize flight information," said Eric Schmidt, Chairman and CEO of Google. "Their technology opens exciting possibilities for us to create new ways for users to more easily find flight information online, and we're looking forward to welcoming them to Google."

"It is a privilege to work with a most skilled and dedicated team to build innovative technologies that people use every day," said Jeremy Wertheimer, CEO & President, ITA Software, Inc. "We are all looking forward to continuing and expanding our efforts as part of Google."

Founded in 1996 by a team of MIT computer scientists, ITA's solutions for organizing flight information have been used by both airlines and online travel agencies.

The deal will allow Google to pursue the creation of new flight search tools that will enable users to find better flight information more easily on the Internet.

Regulators are likely to take a hard look at Google?s plans to fold the flight-information software company into its Internet search engine.

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