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Marriott Disrupted

Marriott announced that they are buying Starwoods for $12.2 Billion. CNBC thinks it is about China or the combo of the largest 2 loyalty programs. However, the Marriott president says something different on LinkedIn. Yes, LI! Today, social networks are news outlets, too.

“The hospitality industry today is filled with new and emerging options.” AirBnB, VRBO and other sites are changing the landscape. Ubiquitous broadband coupled with smartphones and easy to make websites means that every industry gets disrupted.

Price is transparent. Mega-search sites are driving prices down. Consumers have choices — more than ever before. And frequent travelers want experiences, not hotel rooms with a view. Disruption.

And when an industry gets disrupted, it just looks for scale. Not innovation, scale. Get bigger. Wrong answer, but whatever.

Telecom is already getting disrupted by apps like messenger, WhatsApp, and Snapchat. WebRTC is going to disrupt it some more. It doesn’t look like it did in 2000. Everything is device driven right now. It was always telco-driven before.

As we discussed on a recent podcast and ITEXPO session, you need an open source mentality. You have to be a Net-Head, not a Bell-Head.

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