CMA Launches Probe into Marriott’s STR Analytics Data Sharing
UK competition regulator has launched an investigation into Marriott, Intercontinental Hotels and Hilton over suspected sharing of competitively sensitive data via STR analytics platform owned by CoStar. The Competition and Markets Authority may issue objections under the Competition Act 1998 if it provisionally concludes the hotel groups breached competition law.
1. CMA Investigation Initiated
The Competition and Markets Authority has opened a formal investigation into Marriott, Intercontinental Hotels and Hilton to determine whether they exchanged sensitive commercial information through the STR analytics platform. The probe falls under the Competition Act 1998 and focuses on potential coordination of rates, occupancy forecasts and market strategies.
2. Role of STR Analytics Platform
STR, owned by OnTheMarket parent CoStar, collects and distributes hotel performance metrics globally. The CMA is examining whether the platform was used as a conduit for sharing competitively sensitive data that could distort pricing and undermine fair competition in the hospitality sector.
3. Regulatory Process and Possible Outcomes
The CMA will gather evidence from STR, the hotel groups and third parties, then decide if it will issue a statement of objections. If breaches are found, Marriott could face fines of up to 10% of its global turnover or be subject to binding remedies to restore competition.
4. Implications for Marriott
A formal objection or significant penalty could weigh on Marriott’s European earnings and reputation, potentially triggering stock volatility. Investors will monitor the investigation timeline and any operational changes Marriott implements to address regulatory concerns.