logo

Is Airbnb management worried the coronavirus might shut down its business?

Saturday, June 20, 2020
By Jacqueline Agustin
NO

Airbnb's management in early May said it could weather a 50% drop in revenue by raising an additional $2 billion in capital and cutting expenses. It laid off 25% of its staff. Changes in travel patterns brought on by the coronavirus pandemic "are not temporary or short-lived," CEO Brian Chesky said.

As the U.S. economy began to "reopen" in mid-May, Airbnb said that between May 17 and June 6 it saw growth in bookings compared to a year earlier, with more travel planned to nearby destinations in easy driving distance.

The company remains vulnerable to the global course of the coronavirus. As a private, venture capital-backed company it doesn't report detailed financial results. CNBC reported that its investors remain confident in its eventual prospects for an initial public offering.

This fact brief is responsive to conversations such as this one.
ABOUT THE CONTRIBUTOR
Between 2020 and 2022, under close editorial supervision, Gigafact contracted a group of freelance writers and editors to test the concepts for fact briefs and provide inputs to our software development process. We call this effort Gigafact Foundry. Over the course of these two years, Gigafact Foundry writers published over 1500 fact briefs in response to claims they found online. Their important work forms the basis of Gigafact formats and editorial guidelines, and is available to the public on Gigafact.org. Readers should be aware that while there is still a lot of relevant information to be found, not all fact briefs produced by Gigafact Foundry reflect Gigafact's current methods and standards for fact briefs. If you come across any that you feel are out of date and need to be looked at with fresh eyes, don't hesitate to contact us at support@gigafact.org.
FACT BRIEF BY
facebook
twitter
email
email