Airbnb beats actual posh hotel chain with stupidly large valuation

Airbnb is shortly expected to unveil a valuation of $24bn (£15bn), meaning it will soon be worth more than actual hotel chain Marriott, according to reports.

This month, Airbnb expects to close a $1bn (£628m) funding round at a $24bn valuation, "people familiar with the matter" have whispered to the Wall Street Journal.

In contrast, Marriott – which has more than 4,000 hotels – is valued at about $21bn (£13bn), said the WSJ.

Airbnb recently raised its revenue projection to more than $900m (£565m) after its site performed better than expected in the first quarter, another source told the paper.

The company’s revenue is then expected to grow to $10bn in 2020, the sources said, with profits expected to hit $3bn (£1.9bn) the same year.

Airbnb is forecasting an operating loss of about $150m (£94m) this year.

The UK government has made no secret about its enthusiasm for sharing economy outfits.

In its response to an "independent" report on the sharing economy, the government said in March that civil servants should be forced "to use sharing economy solutions to book accommodation and transport when travelling on official business". ®