‘India is a long game; over time, it will become one of the biggest markets for us,' says Airbnb CEO Brian Chesky

Time of India

14-05-2025

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Brian, you mentioned that 2025 marks the beginning of Airbnb's next chapter. What will be fundamentally different in this new phase—and what core aspects of Airbnb will remain unchanged?
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Could we see Airbnb become a super-app for travel—accommodations, experiences, payments, insurance, and an AI-driven concierge all in one? Perhaps a platform not just for travellers and hosts, but also for local creators and entrepreneurs offering different services?
With Airbnb's latest expansion of services, do you feel the company is starting to resemble the very hotel industry it once set out to disrupt?
Amid escalating geopolitical tensions and disruption by Trump tariffs, have you observed significant shifts in global travel patterns or traveler sentiment on Airbnb's platform?
Is volatile geopolitics the new normal for global businesses like Airbnb? Is AirBnb diversified and derisked enough to tackle these issues?
With about 70% of Airbnb's gross booking value coming from five core markets—the U.S., U.K., Canada, France, and Australia—where does India currently stand, and how has the business performed in recent years?
Ceos of most top hospitality companies have visited India in last two months …
Is Airbnb India profitable on a standalone basis?
Has the Indo-Pak conflict hit bookings on Airbnb India?
How do you see AI reshaping the future of hospitality?
You're integrating AI into customer service and product experiences—but is AI just a feature enhancement for Airbnb, or do you see it becoming foundational to Airbnb's moat in the next few years?
If you were starting from scratch today—with no brand, no funding, just your skills and instincts—what kind of startup would you build in 2025?
Airbnb is playing the long game in India, betting on a rapidly growing Gen Z and millennial population to turn one of its fastest growing markets into one of its biggest, and projecting the potential global spending by Indian travellers to reach $29 billion by 2029.'We are still in an investment mode in India, and we will be investing very heavily in the coming years,' says cofounder and chief executive Brian Chesky.Seventeen years after its launch, Airbnb is diversifying, which he says will make the San Francisco-based company 'a true tech platform, a real-world global community', from just a travel company.In an interview with ET's Vinod Mahanta, Chesky talks about Airbnb's new avatar, doing business in a volatile global geopolitical environment and how artificial intelligence would impact hospitality and the company.Let me start with what's not changing, and then I'll get into what is.If you want to book a home on Airbnb—say, starting May 13—you can still do that just like before. No changes there. We've got nearly 4 million people staying with us every night, and most of them love the experience. That core product remains the same.And what we stand for isn't changing either. We've always been about travel, about connection, about helping people have real, authentic experiences when they're away from home. That's still what drives us.But beyond that, we're making some pretty big changes.There are three major ones, and probably the biggest is what we're calling Airbnb Services . Honestly, I'm really excited about this. Back when we first started, people used to ask, 'What else can you Airbnb?' Some assumed the next big thing would be cars or something like that. But over time, we realised the most valuable thing people have isn't their home or their car—it's their time, their skills, their creativity.So we asked ourselves: what if you could Airbnb more than just a place to stay?Airbnb has become both a noun and a verb. It means somewhere to stay. But we saw a chance for it to mean more. So we did the research, talked to a lot of guests, and what we found was clear. There are a bunch of services travellers want that don't currently exist in a simple, trusted way.Guests told us they'd love to have a meal prepped and ready in the fridge. Some wanted a chef to come over and cook. Others were traveling for weddings and needed makeup or hair styling. A lot wanted a photographer to capture memories. Some were just looking to stay active, not in a hotel gym, but with a real personal trainer. All of it made sense.And while we were building Airbnb Services, we started thinking about Airbnb Experiences, which we launched back in 2016. People really liked them—but they never quite broke through.So we stepped back and asked, what if we rebuilt experiences from scratch, based on everything we've learned from homes and services over the past few years? What if we found the most interesting people in the world and helped them share what they love?That's how Airbnb Originals came about. These are experiences designed to be unforgettable. They're personal, they're creative, and they're completely reimagined.But then we realised something else—our app wasn't built for any of this. It was designed for one thing: booking a home. We couldn't just tack on new features. So we rebuilt the entire app, from the underlying tech to the interface.It's probably the biggest redesign we've ever done. And I don't think many apps used by this many people have gone through a change this wide, all at once.Seventeen years ago, we changed how people travel. With services and experiences, we think we're about to do it again. Because now, Airbnb is more than a home. It's a way to travel better.And one more thing—we're launching all this in 100 cities, across 28 categories, in two brand-new businesses. That's a huge lift. But even so, it feels like just the beginning.Here's why. You don't have to be on a trip to use these. We designed them for travellers, but the truth is, you can use them right in your own city. You could book a live show on a Friday night or schedule something fun for the weekend. These new services and experiences aren't just for vacations. They can fit right into your everyday life.This is a big shift for Airbnb. And we're just getting started.Honestly, I've always hoped Airbnb could become more than just an app. There really aren't many super apps in the U.S., nothing like WeChat. Now, I don't know if we've earned the title 'super app' — that's a big one — but I do think Airbnb is officially becoming something more. In a way, it's starting to feel like many apps in one.Think about it. You can now book a home, a service, or an experience — all in one place. But we also built a full travel itinerary tool. We have a messaging platform with a lot of the functionality of iMessage or WhatsApp, but tailored just for our community. There's a rich profile system that acts as a gateway to your connections. And that's just the guest side. We have a dedicated host app too.And services and experiences? This is just the beginning. We're launching with 10 services, but honestly, there are dozens more we can imagine. I think our services offering could evolve the way Amazon did — starting with books, then moving to CDs, DVDs, electronics, toys… and before you knew it, everything.In the U.S., two out of three jobs are in services. Globally, that's where the economy is headed. So yeah, we see a huge opportunity.And every year, hopefully, I'll sit down with you again and share more announcements about where this is all going.Right now, I think Airbnb is probably the biggest travel brand in the world. By many measures, we're likely the second largest travel business — maybe third, but probably second. That said, I don't see us as just a travel company anymore.This is the start of something bigger — a true tech platform, a real-world global community.And when I say 'community,' I mean it. This isn't just anonymous transactions. We've got nearly 200 million verified identities on Airbnb. These are real people, building real connections. It's not like a social network where you scroll past strangers — you actually meet people in person. There's something powerful in that.Our vision is simple: we want you to be able to travel anywhere, live anywhere, and belong anywhere. That's what we're building toward. A world where Airbnb connects you to people, spaces, services, experiences, and communities — wherever you are.What we launched today? It's just scratching the surface.We've also rebuilt the entire company from the ground up. The tech platform, the app… almost everything's been overhauled. What you see now is nearly a brand-new app.There are 10 tabs in total — five for guests, five for hosts — and pretty much every single one was rewritten or redesigned for this launch.But we didn't just do it for services and experiences. We did it with the next five years in mind.That's a great question. Ideally, I want to keep everything people already love about booking an Airbnb — and add everything they love about booking a hotel.So, for example, people choose Airbnbs for the space, for the unique amenities, and because they want a local, authentic experience. That's not changing. But a big reason people book hotels is for the services — and now, we're bringing those services to Airbnb too.The thing is, we're not just matching hotels. We can offer things hotels don't — like having a private chef come cook for you in your home, instead of sending you to a restaurant. Or a photographer to capture your trip. Some hotels have spas, some don't — but we'll eventually offer a whole range of services most hotels wouldn't even dream of.And beyond services, there's something hotels fundamentally don't have: experiences. That's a space we've always leaned into.These new offerings are also meant to bring in people who may have never tried Airbnb before — especially hotel-first travellers — but we're doing it in a way that pulls them deeper into what makes Airbnb special.Because at the end of the day, what sets us apart from hotels is people. Hotels are often built around standardisation. They try to remove the human element as much as possible. Airbnb is the opposite. Every booking is with a real person, in a real place. And with these new service experiences, every reservation comes with that human connection — you're engaging with locals, not just staff.To me, that's where the world is headed. People are at the center of Airbnb. That's always been true. And yes, we're aiming to be much more than just an app — we're building a community.We've seen a few changes but not major shifts. The main thing I'd say is, our business is incredibly robust. Even when cross-border travel slows down, people still travel within their own countries. And we have very strong domestic markets. So if one country is a little soft, another often picks up the slack.Honestly, we saw this play out during the pandemic. At one point, we lost 80% of our business in eight weeks. That was a scary moment. But the recovery? Airbnb bounced back faster than hotels. And that's an important point.Why? Because people started booking places just a car ride away. They used Airbnbs to shelter in place, to get out of the city, to feel safe. We adapted quickly — and that flexibility is kind of built into our model.We actually mentioned this in our shareholder letter too: Airbnb is resilient. Of course, we're not immune to the economy. Travel is largely discretionary, so economic slowdowns affect us. But the business is incredibly adaptable.And with the launch of services and experiences, I think we'll be even more insulated from shifts in travel patterns. The more diverse our offerings become, the less dependent we are on any one kind of trip or traveler. That's where we're headed.By far, there's no question — and it's not even close — Airbnb is in a totally different league. The reason is, even with just our core business, we've built something that goes far beyond what most hotels or OTAs have. A lot of them are pretty US- or Europe-centric. Sure, we're strong in the US and Europe too — but our fastest-growing markets are in Latin America and Asia.And we're everywhere. We've got budget homes, we've got luxury homes. We're in big cities, but we're also in rural areas where there are no hotels at all. We attract young travellers, but a lot of older travellers love us too.And now, with services, we're diversifying even more. Services will bring in hotel travellers — for sure — but they'll also increase stickiness. People will start using Airbnb not just when they travel, but in their own cities. And that's a huge shift.Then you have experiences, which I think are going to push Airbnb more into pop culture. We're already seeing really interesting people — even celebrities — come onto the platform. Some will use it while traveling, others will use it right where they live. That opens up a whole new dimension.In a way, this is what big tech platforms do. The most successful ones aren't just vertical businesses — they're wide platforms. Think about it: you can search anything on Google. You can use your iPhone for almost anything. Their aperture is wide open.And I think that's what this moment represents for us — it's the beginning of Airbnb widening its aperture. From just vacation rentals to something much bigger.So, we have our first five core markets, and then eight expansion markets after that. Right now, unfortunately, India isn't in that top cohort. It's not in the top 10 by current size — but it is one of the fastest-growing markets on Airbnb.And I really believe India is a long game. Over time, I think it will become one of the biggest markets for us.Just look at the demographics — India has a huge population of Gen Z and millennials, and this group disproportionately chooses Airbnb compared to older generations. That's a strong signal.We're going to be investing significantly in India in the coming years. And I think these new services we're launching will be very relevant to the Indian market.So, you've got this situation where India is not just one of the fastest-growing economies — it's also one of the fastest-growing large tourism markets in the world. And what makes it really exciting is the age of the travel base. India has the largest population of millennials and Gen Z in any country. That's a big deal.Younger travellers just don't have the same attachment to hotels that older generations do. A lot of them don't even remember a time before Airbnb — so they're not asking why they should use it. For them, it's more like, why wouldn't they?Some younger folks actually think hotels are the alternative to Airbnb, not the other way around. That tells you a lot about where the market's headed.And beyond that, India is incredibly plugged in — people are dialed into social media, they're curious, open to trying new things, new services, new platforms. All of that makes India anWe don't typically break down profitability on a country-by-country basis, so I can't speak to standalone numbers for India. But what I can say is—we're definitely investing in India. The size of the opportunity is huge, and the market's growing fast. Right now, India is very much in investment mode for us.I haven't looked at it recently, but I don't think anything has been materially affected. Right now, our main focus is on the safety of our employees — we have team members in India — and also the safety of our guests and hosts in both India and Pakistan. That's really where our attention is at the moment.I think AI will absolutely change hospitality — but it'll happen more slowly than in other industries. Eventually, like every industry, it'll be completely transformed by AI. But the nature of hospitality makes it a bit more resistant, at least in the near term.AI is going to disrupt things that are digital, repeatable, and, frankly, not very human. Hospitality doesn't fall neatly into that category. It's not entirely digital, it's not easily formulaic — and by definition, hospitality is service with heart. That human touch matters.The kinds of services we offer — the interactions between hosts and guests, the real-world experiences — those aren't the things AI is replacing anytime soon. Sure, humanoid robots are coming, but they'll be lifting boxes in warehouses long before they're giving massages or greeting you at a mountain cabin.That said, I do think AI will completely change how we discover travel, how we plan it, how we communicate, how we get support. The front-end — everything from trip inspiration to booking and customer service — is going to be revolutionised. But the actual experience of traveling? The way we explore the world, meet people, and connect in person? I think that stays largely the same in the near to medium term.And honestly, I think that's part of what makes Airbnb special. What we're doing is timeless. You could imagine something like Airbnb existing 100 years ago — just without the internet. It would've been harder to build trust or scale, sure, but the core idea? Staying in someone's home, sharing a meal, having an experience with a local — all of that is deeply human. And 100 years from now, I think people will still want those same things.So in a world where everything is changing, I think it's worth asking: what won't change? And I believe the essence of Airbnb — real people, real places, real connections — will endure. But yes, the way we navigate that world? The tools we use to find it, book it, get support? That part is already being transformed by AI.Absolutely — 100%. Honestly, I can't imagine a tech company where AI isn't at the center of everything they do over the next 10 years. It would be like a software company in the last decade having nothing to do with the internet — it just wouldn't make sense. AI is going to be embedded into everything.Now, there are a lot of companies pushing the frontier of AI, but I think Airbnb has a unique opportunity to excel here. We've got one of the best design teams in the world, one of the best product teams, and we've consistently built great applications. But more than that, we're a very humanistic tech company. I think we've always had a strong vision and sensibility about how technology should serve people.And what makes us especially interesting in this space is the kind of data we have — not just online behavior, but how people move through the real world. That gives us an edge in what I'd call applied AI — using AI to enhance how people live, travel, work, and connect.That's really what we're imagining for the future: Airbnb as the ultimate travel and living concierge — something that truly gets to know you. I want to build the most personal personal AI ever created. One that can match you with people, places, experiences, communities. Something that helps you move through the world with ease and meaning.In a way, we want to be the infrastructure for how people live their lives — and I think there's something really powerful in that vision.Yeah, so maybe just to wrap up — I actually think Airbnb is going to move into the AI future faster than the rest of the hospitality industry.We've already talked about things like our AI-powered customer service agent, but that's just the start. I think you're going to see really significant changes on Airbnb over the next two years — like, truly transformational changes.The rest of the hospitality sector will probably follow, but I think it'll take longer. OTAs might get there sooner than hotels, but traditional hotels? I honestly don't think their operations will look meaningfully different in the next five years. Maybe small changes here and there, but nothing major.Meanwhile, I think the Airbnb experience will feel completely different within two years. That's where we're headed.Honestly, I don't fully know. But what I do know is that if I were starting a company today, it would absolutely be AI-first. No question.When I started Airbnb, the internet was really taking off and the iPhone had just launched. I was riding that wave — and if I were starting something now, I'd be riding the AI wave.But of course, it's not just about chasing a trend. You want to build something you're passionate about — something the world actually needs. So the question becomes: does the world need yet another AI company just building another model that ends up getting commoditised? I'm not sure that's where I could contribute something meaningful.Here's what I find interesting: people are spending more and more of their lives on devices. In the U.S., for example, the average Gen Z user spends around four hours a day on social media. With AI becoming more powerful and personalised, that number could easily go up. There's a real risk that we end up spending even more of our lives on screens.And now people are starting to build relationships with AI. It feels personal. It knows them. For some, it'll become a friend. For others, even a kind of pseudo-romantic partner. That raises a big question: do we want to raise a generation whose closest relationships are with AIs? Or do we want a world where their friends are people — where technology helps connect humans, not replace them?So if I were to start something new, it would still be an AI company — but it would be about people. It would use AI to bring people together in the real world. To make them feel less lonely, less divided. To get them off screens and back into the world. To help them experience more of what makes life incredible.And honestly, I think that's what we're already doing with Airbnb. We didn't start as an AI-first company — AI wasn't where the world was when we began — but that's where we're headed. We're using technology to bring people together. That's the throughline, and that's what I'd want to keep building.