{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Travel Tech Podcast","title":"Computer Says No: Why Airlines Won't Take Your Upgrade Money","html":"<iframe width=\"100%\" height=\"180\" frameborder=\"no\" scrolling=\"no\" seamless src=\"https://share.transistor.fm/e/54bcf15c\"></iframe>","width":"100%","height":180,"duration":3369,"description":"Airlines have been trying to modernize their retailing for over a decade, and most still can't change or refund what they sell.Ann Cederhall is co-founder of LeapShift and one of the architects of the original NDC Direct Connect implementations at Lufthansa, where she helped build the project that became known as the \"16 Euros\" surcharge. In this episode, she traces the structural reasons why airline retailing has stalled: from the servicing gaps baked into NDC standards through version 24.1, to the 70% of airlines operating without any order management system, to the $650 million to $3 billion in annual revenue leakage from interline proration disputes. The conversation covers what AI can realistically fix and what it cannot.What You'll LearnNDC servicing gap: Airlines could book via NDC from 2012 but could not change, cancel, or refund those bookings until the 24.1 standard in 2024, a 12-year gap that fundamentally limited what airlines could sell through the channel.Version fragmentation: Approximately 70% of airlines currently on NDC are still running version 17.1, leaving them without the servicing capabilities that would make the standard commercially viable.Order management absence: Nearly 70% of airlines surveyed have no orchestration or order management system, meaning they have no centralized control over what they have sold, to whom, and what can be changed.Ancillary inventory failure: Airlines routinely sell ancillary services (seat upgrades, fast track, bags) with no system to verify that those services actually exist at the time and place of purchase.Upgrade opportunity cost: Willingness to pay increases sharply close to departure and at the airport, but most airlines' systems cannot process an upgrade when the booking is held in a travel seller's PNR rather than the airline's own record.AI's real limits in retailing: Agentic AI can filter and interpret shopping results, but it cannot replace shopping engines that have not been modernized in 30...","thumbnail_url":"https://img.transistorcdn.com/LxpvuNpWwfSGFL1KA1WhoZf9L55ykAqb5rgjXNFqi3c/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS9mY2Yz/ZjA5OGE1ZmEyMTk4/ODJkYmU1YjhlYjRk/YTMzNC5wbmc.webp","thumbnail_width":300,"thumbnail_height":300}