Airbnb, Inc. (pronounced AIR-bee-en-BEE) is a company from the United States that runs an online service where people can rent homes, stay in homes for short or long periods, and enjoy experiences or services in many countries around the world. Airbnb works as a middleman and collects a fee from each booking. The company was started in 2008 by Brian Chesky, Nathan Blecharczyk, and Joe Gebbia. Its original name was "Airbed and Breakfast."

History

In October 2007, in San Francisco, Brian Chesky and Joe Gebbia, who were roommates and former schoolmates, created an idea to help pay their rent. They placed an air mattress in their living room and turned it into a bed and breakfast during a conference by the Industrial Designers Society of America. At that time, travelers had difficulty finding places to stay in the city. After the idea was successful, Chesky and Gebbia realized they had a business opportunity. In February 2008, Nathan Blecharczyk, Chesky’s former roommate, joined as the chief technology officer and became the third co-founder. They named their new venture "AirBed & Breakfast" and created a website that offered short-term living spaces and breakfast for people who could not find hotel rooms. The website, Airbedandbreakfast.com, was launched on August 11, 2008.

In 2008, the founders raised $30,000 by selling cereal named after the two candidates in the U.S. presidential election, Barack Obama and John McCain. Most of the sales happened at the 2008 Democratic National Convention. Computer programmer Paul Graham invited the founders to a training session in January 2009 at Y Combinator, a startup incubator. Y Combinator provided training and $20,000 in funding in exchange for a 6% ownership share of the company. Using the investment, the founders traveled to New York to meet users and promote the website. They returned to San Francisco with a profitable business model to show to West Coast investors. By March 2009, the website had 10,000 users and 2,500 listings.

In March 2009, the company changed its name to Airbnb.com to avoid confusion about air mattresses. At the March 2011 South by Southwest conference, Airbnb won the "app" award. In July 2014, Airbnb updated the website and mobile app and introduced a new logo. The company also announced a partnership with Concur, a business expense reporting service.

In 2014, linguist Mark Liberman criticized the long legal agreements required by Airbnb. These agreements, including the terms of service and privacy policy, totaled about 55,081 words, which is the length of a short novel.

In April 2015, Airbnb expanded to Cuba after U.S. restrictions on doing business there were eased. In July 2016, former Attorney General Eric Holder was hired to help create an anti-discrimination policy after reports showed some hosts refused to accept guests with names that suggested they were Black. As part of the policy, hosts could not see photos of guests until they accepted a lodging request.

In November 2016, Airbnb launched "experiences," allowing users to book activities through the platform. In January 2017, Airbnb led a $13 million investment in Resy, a restaurant reservation app. In May 2017, the company launched Airbnbmag, a magazine co-published with Hearst Communications.

In August 2017, Airbnb canceled bookings and closed accounts for people who attended the Unite the Right rally in Charlottesville, Virginia, because the company requires members to "accept people regardless of their race, religion, national origin, ethnicity, disability, sex, gender identity, sexual orientation, or age."

In February 2018, Airbnb introduced Airbnb Plus, a collection of homes checked for quality, comfort, and design, and Beyond by Airbnb, which offers luxury vacation rentals. By October 2019, two million people stayed with Airbnb each night. In April 2019, Airbnb produced and financed Gay Chorus Deep South, a documentary launched by its Rausch Street Films division. The rights were sold to MTV, which aired the program.

During the COVID-19 pandemic, bookings dropped as much as 96% in some cities. However, bookings increased in rural areas. Airbnb pledged $250 million to help hosts who lost income due to cancellations. The company also laid off about 1,900 employees, or 25% of its workforce in the Americas, Europe, and Asia. On December 10, 2020, Airbnb became a public company through an initial public offering, raising $3.5 billion on Nasdaq. Shares valued at $238 million were offered to hosts at $68 per share.

Airbnb was one of the 15 leading sponsors of the 2022 Winter Olympics in Beijing. In March 2021, human rights activists asked Airbnb to stop its sponsorship due to concerns about human rights violations in China, including the persecution of Uyghurs. Airbnb did not remove its sponsorship.

In March 2022, Airbnb suspended business in Russia and Belarus due to international sanctions related to the Russian invasion of Ukraine.

In May 2022, Airbnb stopped operations in China because of strict laws requiring the company to share guest information with the Chinese government, which could be used to track people. China accounted for less than 1% of Airbnb’s revenue. Airbnb faced criticism for sharing information with Chinese authorities, leading to the resignation of an executive who had previously worked for the Federal Bureau of Investigation. Airbnb was also accused of allowing listings on land owned by the Xinjiang Production and Construction Corps, a Chinese state-owned entity linked to the persecution of Uyghurs. Some hosts in China were accused of refusing to rent to Uyghurs.

After temporarily banning parties in homes rented on the platform in August 2020 due to the pandemic, Airbnb permanently banned parties and events in homes in June 2022. This decision was supported by hosts and neighbors who complained about noise and disturbances. In August 2022, Airbnb introduced technology to enforce the ban.

In January 2021, Airbnb allowed people who attended the January 6 United States Capitol attack to book units in the Washington, D.C., area, even though most nearby hotels banned far-right extremists. After concerns about further violence during the Inauguration of Joe Biden, Airbnb banned all bookings in the region before the inauguration.

In February 2025, Airbnb co-founder and board member Joe Gebbia joined the Department of Government Efficiency (DOGE). Concerns that Gebbia’s work for DOGE might harm U.S. democracy led to calls for a boycott of Airbnb.

In June 2025, Airbnb became a sponsor of the FIFA Club World Cup, offering "official fan accommodation" for the 2026 FIFA World Cup, co-hosted by the United States, Canada, and Mexico, and the 2027 FIFA Women’s World Cup in Brazil.

In October 2011, Airbnb opened its first international office in London. In early 2012, the company opened offices in Paris, Milan, Barcelona, Copenhagen, Moscow, and São Paulo, in addition to existing offices in San Francisco, London, Hamburg, and Berlin. In September

Regulations

Regulations have been put in place on short-term rental platforms after supporters argued that short-term rentals have reduced the availability of affordable housing and increased long-term rental prices because of changes in housing supply and demand. Short-term rentals can be more profitable for landlords and attract investors who raise housing prices. Supporters of short-term rentals say the effect on housing prices has been small and that increasing affordable housing requires more housing supply. For example, in Lisbon, a temporary ban on short-term rentals did not lower housing costs; it only raised hotel prices.

In rare cases, landlords have been accused of illegally removing tenants to turn properties into short-term rentals for higher rent.

The hotel industry has pushed for more rules on short-term rentals because they compete with hotels. Short-term rental platforms also use lobbying to support their interests.

Besides government rules, many homeowner associations also limit short-term rentals. Neighborhood groups have raised concerns that short-term renters may cause problems like overcrowding, noise, and safety issues.

Rules for short-term rentals can include requirements for hosts to have business licenses, pay hotel taxes, limit the number of days a space is rented, require hosts to live in the property, and follow building, city, and zoning standards.

Examples of rules in different cities:
– Amsterdam: Hosts can rent properties for up to 30 nights per year to groups of no more than four. Short-term rentals are banned in certain areas.
– Barcelona: Licenses and higher property taxes are required. All short-term rentals will be banned in November 2028.
– Berlin: Licenses are required. Hosts must live in most of the property.
– Budapest: Licenses and taxes are required. Short-term rentals are banned in certain areas.
– Ireland: Licenses are required. Short-term rentals are limited to 90 days per year for primary homes.
– Lisbon: Licenses are required. Short-term rentals are limited to 10% of the housing stock.
– London: Short-term rentals are limited to 90 days per year.
– Lucerne: Short-term rentals are limited to 90 days per year.
– Madrid: Listings without private entrances are banned.
– Palma de Mallorca: Short-term rentals are banned.
– Paris: Hosts can rent homes for no more than 120 days per year. Licenses are required.
– Rome: Short-term rental sites must withhold a 21% rental income tax.
– Venice: Hosts must collect and remit tourist taxes.
– Vienna: Short-term rentals are banned in specific "residential zones," except for apartments occupied by the host.

Examples in the United States:
– Phoenix, Arizona: Most regulations are not allowed because cities cannot interfere with property rights.
– Boston, Massachusetts: Short-term rentals are only allowed in owner-occupied homes. Registration is required.
– Chicago, Illinois: Licenses are required. Single-night stays are not allowed.
– Jersey City, New Jersey: Hosts can only rent for 60 days per year.
– Las Vegas, Nevada: Owners must live in the property. Rentals are limited to 1% of housing stock.
– Los Angeles, California: Hosts must register with the city and pay a fee. Rentals are limited to 120 days per year.
– Miami, Florida: Short-term rentals are banned in most neighborhoods.
– New York City, New York: Licenses are required. Rentals under 30 days are not allowed unless the host lives on the property.
– Portland, Oregon: The number of bedrooms in a unit that can be listed is limited.
– San Diego, California: Short-term rentals are limited to 1% of the housing stock. Licenses are required.
– San Francisco, California: Hosts must register with the city.
– Santa Cruz, California: Parking restrictions were discussed to reduce short-term rentals and help local residents.
– Santa Monica, California: Licenses are required. Hosts cannot list multiple properties.
– Seattle, Washington: Licenses are required. Hosts cannot rent more than two units.
– Washington, D.C.: Licenses are required. Rentals are limited to 90 days per year if the host does not live on the property.
– Weehawken, New Jersey: Short-term rentals under 30 days are banned.
– West New York, New Jersey: Short-term rentals under 30 days are banned.

Examples in other countries:
– Montreal: Short-term rentals must be in the host's primary home. Rentals are only allowed between June 10 and September 10. Certain areas are banned.
– Toronto: Licenses are required. Short-term rentals must be in the host's primary home. Taxes are required.
– Vancouver: Licenses are required. Short-term rentals must be in the host's primary home. Licenses cost C$1,108 per year.
– Japan: Licenses are required. Homes can be rented for a maximum of 180 days per year.
– Singapore: Short-term home rentals for less than three months for private homes or less than six months for government housing are illegal.

Corporate affairs

Airbnb's main trends for the year ending December 31, 2024, include:

Revenue by region in 2024:

From Airbnb’s governance section, the following individuals serve on the Board of Directors in 2025:

• Brian Chesky, Co-founder, Chief Executive Officer, and Chairman of the Board
• Angela Ahrendts, Independent director and former leader of Apple's retail division
• Amrita Ahuja, Chief Financial Officer and Chief Operating Officer of Block
• Nathan Blecharczyk, Co-founder and Chief Strategy Officer
• Kenneth Chenault, Independent director and former CEO of American Express
• Ellie Mertz, Independent director and Airbnb's Chief Financial Officer
• Joe Gebbia, Co-founder
• Jeff (Jeffrey) Jordan, Independent director and former CEO of OpenTable
• Alfred Lin, Independent director and former Chief Operating Officer of Zappos
• James Manyika, Independent director and Senior Partner at McKinsey.

Other notable attributes

Airbnb does not have a program that rewards customers, partly because it has few business customers. Airbnb has a system where guests and hosts can leave feedback after a stay. Reviews are not shown until both the guest and host have written their reviews or the time to leave reviews has passed. This system helps make reviews more accurate and fair by reducing fears that someone might get a bad review for writing one. However, the truthfulness and fairness of reviews might be hurt if users believe their reviews are not anonymous or if hosts choose not to host people who often leave negative reviews.

Legal issues

Airbnb has faced lawsuits from guests who experienced problems at rental properties listed on the platform. Airbnb claims it acts as a middle person, but victims have won cases when the company knew about unsafe conditions and did not act, or when hosts were responsible. Airbnb has stated that its background checks may not find all criminal records or other risks, and that serious crimes like murder, terrorism, or child molestation do not automatically prevent someone from being a host.

In 2021, Airbnb paid $7 million to a guest from Australia who was attacked with a knife in New York City in 2015. Rarely, Airbnb has been sued for serious safety issues, such as murder, sexual assault, drowning, or extortion by hosts.

Although Airbnb prohibits indoor cameras in rental properties, even if hosts disclose them, a report found that the company has not always protected guests from hidden cameras. Guests have sued Airbnb multiple times after discovering hidden cameras in rented properties.

In July 2025, a lawsuit was filed against Airbnb, claiming the company was involved in hosts charging unfairly high prices after wildfires in California in 2025. The case is still being reviewed.

Airbnb has also faced legal challenges from governments for not sharing information needed to enforce laws about illegal rentals and hotel taxes. These disputes involve cities like New York, Boston, Miami, and Belgium.

In March 2020, a court in the Netherlands ruled that Airbnb’s practice of charging fees to both hosts and guests was illegal. The court said guests who rented through Airbnb could request refunds. Airbnb responded with its own legal actions to clarify the ruling.

In May 2024, a former Airbnb employee claimed in a report to U.S. regulators that the company had weakened rules against extremists and hate groups, and had stopped a team that removed such individuals from the platform. Airbnb denied these claims. For example, the company reversed a decision to remove the parents of a far-right activist from its platform after complaints from conservative media.

In November 2018, Airbnb announced it would remove listings for properties in Israeli settlements in the West Bank, which are part of a dispute between Israelis and Palestinians. However, after property owners in Israel and the U.S. sued Airbnb, claiming discrimination based on location, the company changed its plan. Instead, Airbnb promised to donate profits from these listings to organizations that help people in need.

On February 12, 2020, Airbnb was listed by the United Nations Human Rights Council as a company operating in West Bank settlements involved in activities that raised human rights concerns. The company was grouped with others that provide services supporting settlements.

Philanthropy

Airbnb.org helps provide free or discounted housing to people affected by emergencies, such as natural disasters, the COVID-19 pandemic, and the Russo-Ukrainian war. This effort works with the International Organization for Migration. The program was started in 2012 using $6 million and 400,000 shares of Airbnb stock donated by the company's co-founders.