In what may be its largest acquisition of the year, Google announced yesterday that it bought ITA Software, an air travel service, for $700 million. According to their own report (link), the decision will not affect existing deals for ITA, though Google is "enthusiastic about adding new partners."
Google continues to expand into new and random markets, building an internet empire funded almost entirely by advertising. Since 2001, the company has acquired more than 70 companies, though ITA appears to be one of its larger investments. ITA is a relatively stable company with a high-profile list of clients including United Airlines, American Airlines, Continental Airlines, Orbitz and Hotwire. I would imagine this deal will be extremely beneficial to Google, and I look forward to healthy effects on its already-undervalued share prices.
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