Tripadvisor Merges with Viator, Investors Demand Tough Cuts

Tripadvisor has announced plans to merge with its experiences brand, Viator, as part of a major strategic restructuring designed to improve profitability.

However, it is not yet clear which brand will ultimately remain the primary public-facing identity.

The move comes amid increasing pressure from activist investors who have urged the company to simplify its structure and unlock greater shareholder value.

The merger is expected to create a more efficient and unified organization by consolidating overlapping teams and resources, particularly in engineering, product development, and technology.

However, the integration is expected to result in layoffs, especially within technology and operations divisions.

Activist investors, including Starboard Value, which owns 9 percent of Tripadvisor, and UK-based Palliser Capital, have been pushing the company to consider divesting certain assets, such as Viator and TheFork's restaurant reservation platform, or even pursuing a sale of the business.

The investors argue that Tripadvisor remains strategically valuable, especially in the experiences sector through Viator, and advocate for aggressive cost-cutting and value-unlocking measures, including share buybacks.

Tripadvisor is actively engaging with investors and moving forward with the merger, which is expected to be completed in the coming months.