AI in Travel
AI in Hospitality and Tourism Market Adoption Surges with

InsightAce Analytic Pvt. Ltd. announces the release of a market assessment report on the “Global AI in Hospitality and Tourism Market- (By Type (Natural Language Processing Applications, Machine Learning Algorithms, Computer Vision and Image Recognition, Chatbots and Virtual Assistants, Recommendation Systems, Sentiment Analysis) By Application; By End-User, By Region, Trends, Industry Competition Analysis, Revenue and Forecast To 2034.”
According to the latest research by InsightAce Analytic, the Global AI in Hospitality and Tourism Market is valued at USD 2.9 Bn in 2024, and it is expected to reach USD 36.5 Bn by 2034, with a CAGR of 28.9% during the forecast period of 2025-2034.
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Artificial intelligence (AI) is increasingly reshaping the hospitality industry by enhancing guest satisfaction, optimizing operational performance, and streamlining processes across hotels, restaurants, and travel services. The adoption of advanced technologies-such as computer vision, machine learning (ML), data analytics, and natural language processing (NLP)-is driving a broad spectrum of innovative applications throughout the sector.
AI-powered chatbots and virtual assistants play a key role in facilitating personalized customer engagement and improving reservation systems by offering real-time assistance and tailored recommendations. Recommendation engines leverage historical guest data and behavioral insights to deliver customized services and amenities, thereby increasing guest satisfaction and promoting brand loyalty. Furthermore, the use of computer vision for facial recognition strengthens security protocols and expedites check-in and check-out procedures, resulting in a more seamless and efficient guest experience.
In addition, predictive analytics contributes to operational excellence by supporting accurate inventory control, reliable demand forecasting, and dynamic pricing strategies. As AI-driven technologies continue to be adopted, the hospitality industry is well-positioned to enhance service quality, expand its offerings, and maintain a competitive edge in the global marketplace.
List of Prominent Players in the AI in Hospitality and Tourism Market:
• IBM Corporation
• Google LLC
• Amazon Web Services (AWS)
• Microsoft Corporation
• Oracle Corporation
• Salesforce.com, Inc.
• SAP SE
• Intel Corporation
• NVIDIA Corporation
• Alibaba Group Holding Limited
• Huawei Technologies Co., Ltd.
• Cisco Systems, Inc.
• Travelport Worldwide Limited
• Amadeus IT Group S.A.
• Expedia Group, Inc.
• Airbnb, Inc.
• Tripadvisor, Inc.
• Booking Holdings Inc.
• Agoda Company Pte. Ltd.
• Ctrip.com International, Ltd.
• MakeMyTrip Limited
• TripAdvisor, Inc.
• Kayak Software Corporation
• Trivago N.V.
• Others
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Market Dynamics
Drivers:
The widespread adoption of AI-powered chatbots is significantly enhancing guest engagement by delivering 24/7 customer support, efficiently addressing inquiries, resolving issues promptly, and streamlining the booking process. Additionally, the integration of voice-activated technologies in hotel environments increases guest convenience by enabling intuitive control over room functions, service requests, and access to information through verbal commands.
AI is also playing a crucial role in advancing sustainability initiatives by improving resource efficiency, minimizing waste, and promoting environmentally conscious practices. Moreover, the use of AI to enhance augmented reality (AR) and virtual reality (VR) applications allows prospective travelers to experience virtual tours of accommodations and destinations, thereby positively influencing booking decisions and accelerating market expansion.
Challenges:
While AI offers numerous advantages, it is not without limitations. Errors or biases in AI-generated outputs, often stemming from flawed or unrepresentative training data, can compromise decision-making accuracy-especially in critical scenarios where human intervention remains vital. The hospitality and tourism sectors also face significant technical hurdles in AI implementation, as many enterprises continue to rely on outdated legacy systems that are incompatible with newer AI technologies. The integration of AI solutions into existing infrastructures involves both complex technological adjustments and considerable financial investment.
Regional Trends:
North America is expected to dominate the AI market in the hospitality and tourism sector, exhibiting a robust compound annual growth rate (CAGR) during the forecast period. This growth is driven by the presence of major industry stakeholders, evolving consumer preferences, ongoing innovation, and favorable regulatory conditions. Europe also represents a key regional market, benefitting from its technologically advanced economies and increasing adoption of AI-driven solutions. Renowned travel destinations such as France, Italy, Spain, and the United Kingdom continue to attract high volumes of international visitors, further fueling demand for AI technologies aimed at enhancing the overall tourist experience.
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Recent Developments:
• In June 2024, the travel IT company Amadeus added a chatbot to its Agency360 Plus data tool as the first step toward integrating Generative AI into its portfolio of business intelligence solutions. The chatbot will be able to respond to queries and requests for data in “natural language” and give hotel companies access to agency and corporate booking data via Microsoft’s Azure OpenAI Service.
Segmentation of AI in Hospitality and Tourism Market
AI in Hospitality and Tourism Market- By Type
• Natural Language Processing
• Machine Learning Algorithms
• Computer Vision and Image Recognition
• Chatbots and Virtual Assistants
• Recommendation Systems
• Sentiment Analysis
AI in Hospitality and Tourism Market- By Application
• Customer Service and Support
• Personalized Marketing and Advertising
• Hotel and Room Booking Systems
• Virtual Concierge Services
• Smart Guest Room Automation
• Data Analytics and Business Intelligence
• Revenue Management and Pricing Optimization
AI in Hospitality and Tourism Market- By End User
• Hotels and Resorts
• Airlines and Airports
• Travel Agencies and Tour Operators
• Restaurants and Food Service Providers
• Cruise Lines and Maritime Tourism
• Online Travel Platforms and Booking Websites
AI in Hospitality and Tourism Market- By Region
North America-
• The US
• Canada
• Mexico
Europe-
• Germany
• The UK
• France
• Italy
• Spain
• Rest of Europe
Asia-Pacific-
• China
• Japan
• India
• South Korea
• South East Asia
• Rest of Asia Pacific
Latin America-
• Brazil
• Argentina
• Rest of Latin America
Middle East & Africa-
• GCC Countries
• South Africa
• Rest of Middle East and Africa
Read Overview Report- https://www.insightaceanalytic.com/report/ai-in-hospitality-and-tourism-market/2754
About Us:
InsightAce Analytic is a market research and consulting firm that enables clients to make strategic decisions. Our qualitative and quantitative market intelligence solutions inform the need for market and competitive intelligence to expand businesses. We help clients gain competitive advantage by identifying untapped markets, exploring new and competing technologies, segmenting potential markets and repositioning products. Our expertise is in providing syndicated and custom market intelligence reports with an in-depth analysis with key market insights in a timely and cost-effective manner.
Contact us:
InsightAce Analytic Pvt. Ltd.
Visit: www.insightaceanalytic.com
Tel : +1 607 400-7072
Asia: +91 79 72967118
info@insightaceanalytic.com
This release was published on openPR.
AI in Travel
Booking Holdings Inc. (BKNG) Bets on AI to Fuel Next Phase of Travel Innovation

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!
AI is eating the world—and the machines behind it are ravenous.
Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.
Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:
Where will all of that energy come from?
AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.
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The Hedge Fund Secret That’s Starting to Leak Out
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Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.
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AI in Travel
Revolutionizing Tourism: Cambodia and Beihai City’s Partnership to Enhance Travel Experiences with AI

In a significant move to boost Cambodia’s tourism sector, a delegation from Beihai City in the Guangxi Zhuang Autonomous Region of China has expressed interest in collaborating with Cambodia’s Ministry of Tourism. During a meeting on July 29, 2025, between Minister Huot Hak and Ms. Zeng Ling, Vice Governor of Beihai City, discussions focused on utilizing artificial intelligence (AI) to enhance the Cambodian tourism industry.
Ms. Zeng highlighted the intent to partner with Xinyi Holding on a digital initiative known as Enowa. This project aims to develop a sophisticated digital system that will manage various aspects of the Cambodian tourism industry while promoting its renowned destinations, particularly Angkor Wat, to both Chinese and international visitors.
Minister Huot Hak welcomed the proposal, praising the initiatives from Beihai City and recognizing the potential for investment in Cambodia’s thriving tourism market. He noted that this collaboration aligns with the Royal Government of Cambodia’s efforts to modernize and digitalize its tourism sector during its seventh mandate.
The interest from China comes at a time when Cambodia’s tourism industry is experiencing robust growth. The Angkor Foundation recently reported ticket sales exceeding USD 27 million from iconic sites in the first half of 2025. Additionally, the country’s three international airports welcomed more than 3.4 million passengers, marking a 16% increase compared to the same timeframe in 2024. (Read more)
As Cambodia continues to harness its rich tourism potential, the integration of advanced technologies like AI may play a crucial role in attracting even more visitors and streamlining the travel experience.
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AI in Travel
Report: 95% of APAC travellers eager for AI

95% of APAC travellers are excited about AI’s role in travel, according to Booking.com’s inaugural “Global AI sentiment report”, launched at its Trust Summit 2025 in Singapore.
Based on insights from over 37,000 consumers across 33 markets, the study explores how people are using, trusting, and responding to AI in everyday life, and increasingly, in travel. The findings revealed that APAC consumers are not only familiar with AI (82%) but eager to integrate it into their future travel experiences, with 93% indicating they plan to use it in trip planning.
While enthusiasm is high across APAC, the report also identified nuanced sentiments towards AI. About 41% of respondents in the region identify as “AI Enthusiasts”, those curious about AI’s potential, while only 15% are “AI advocates”, people who support its benefits and responsible use.
Don’t miss: Study: 90% of APAC luxury travellers book with wellness in mind
Meanwhile, 8% said they were cautious about AI’s development, and 6% were classified as “AI skeptics”. Notably, 16% of respondents identified as “AI detractors”, suggesting that hesitancy around AI adoption remains present.
Globally, regional sentiment varied. Latin America leads in AI excitement (98%) and familiarity (89%), while APAC follows closely behind. In contrast, consumers in North America and Europe were more cautious, with higher levels of distrust in AI-generated content (32% and 29% respectively).
Despite widespread usage, 98% of global respondents reported using AI-powered search tools, and 83% said they had engaged with generative AI, trust remains limited. Only 8% said they fully trust AI, and just 16% are comfortable with AI making decisions on their behalf. Most users still prefer AI as a supportive tool rather than an autonomous one.
Travel emerged as a key area of AI integration. Globally, 75% of travellers have already used AI in planning or while on a trip, with APAC respondents especially open to autonomous trip planning (67%). AI is most commonly used for destination research, language translation, and navigating transport systems.
Booking.com also noted growing trust in AI assistants, particularly over influencers or peer recommendations, and increasing demand for AI to support more responsible travel. Respondents said they were interested to see AI tools help avoid crowded tourist spots and promote experiences that benefit local communities.
“Generative AI represents one of the most significant technological shifts of our era, opening up new possibilities across industries, including travel. At Booking.com, we’ve been at the forefront of AI innovation for a decade, integrating machine learning and AI to enhance the customer journey at every touchpoint, simplify complexity, inspire curiosity and empower people to shape journeys that feel truly personal,” said Laura Houldsworth, managing director for APAC at Booking.com.
She added, “As travellers across APAC look for deeper meaning and connection in every trip, whilst planning their travels with ease, AI is helping to unlock more intuitive and imaginative travel experiences than ever before.”
The findings come as more travel brands in the region begin doubling down on AI investments to meet rising consumer expectations. Most recently, Singapore Airlines (SIA) has partnered with OpenAI to roll out advanced generative AI tools across its business, the first such collaboration between the ChatGPT-maker and a major airline.
The tie-up will see OpenAI’s multimodal capabilities, including text, audio, video, and image interpretation, integrated into SIA’s customer-facing platforms and internal operations. First on the runway: an overhaul of its AI-powered virtual assistant, which will soon offer smarter, more personalised travel planning and destination discovery tools.
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