Google Licenses Hotel-Booking-Software From Start-Up Room 77

(RTTNews) - Internet-search giant Google, Inc. (GOOG) struck a licensing deal for hotel-booking software from start-up Room 77, which is backed by Expedia Inc. (EXPE), media reported Monday, citing a letter sent to Room 77 shareholders.

The deal will give Google access to technology that will help remake hotel-search experience.

It was reported that many employees of Room 77, including co-founder and Chief Technology Officer Calvin Young and a number of engineers are joining Google. The startup also said it will distribute tens of millions of excess cash to its investors.

Room 77 searches the Web to help find the most rates and book the best prices on more than 200,000 hotels worldwide. It helps to compare rates across hundreds of leading travel sites, including Expedia, Priceline, Orbitz, Booking.com, Hotels.com and hotels directly.

Room 77 is focused on building CheckMate, which it purchased last year to help hotels manage mobile booking.

Previously, Google has invested in travel. In 2011, Google spent about $700 million to buy ITA Software Inc., a provider of flight information.

Google shares closed Monday's trading at $538.15, down $4.99 or 0.92 percent. In the after hours trading, shares gained 0.02 percent, and traded at $538.25.