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Direct to the Customer

In the tug of war between airlines and GDS providers over distribution costs, direct connect could tilt the power balance toward airlines.

IT'S THAT TIME AGAIN. THE FIVE-YEAR, "Full-Content" agreements that most major US carriers signed with the major global distribution systems in 2006 are due to expire next year. In what is becoming a ritual of the contract cycle, airlines are letting the GDS companies know that they have some options. In the past, once the carriers' posturing and negotiating succeeded in wringing some concessions out of the GDSs on segment fees, the dust settled and the basic business ...

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