Airbnb is an internet homestay company which disrupted the hotel and travel industry. The company made an announcement on Thursday, 19th September 2019, expressing its plans to make its stock market debut next year. However, Airbnb offered few details about going public.

 

The company, which many consider a “unicorn”, launched in 2008. It is a startup valued at more than $1 billion even before its initial public offering.

 

Airbnb’s stock launch comes in the wake of other highly anticipated Wall Street launches for companies in the “gig” economy, which have not been resounding successes.

 

 

Ride-hailing service Uber is down about 24% since the start of trading. Meanwhile, office-sharing firm WeWork this week delayed its IPO as its valuation tumbled.

 

Investors have begun to question the business models for these startups. Many of these models burn through capital and struggle to convince markets that they can turn the corner.

 

The San Francisco-based Airbnb offers lodging at more than six million unique locations in nearly 100,000 cities and 191 countries, according to its website.

 

 

Airbnb has sought to diversify in recent years, and perhaps going public might help. The company attempts to branch out into restaurant reservations and “experiences,” in which third-parties can offer local activities in addition to lodging.

 

The company’s rise has provoked stern opposition in some places. Activists and municipalities say it undermines the hotel industry and squeezes supplies on rental and real estate markets. This subsequently drives up costs and makes cities less affordable.