The partnership is broken beyond repair for some rental operators. According to a lawyer at a Chicago company, hundreds of more than 10,000 listings are taking legal action against Airbnb. Others are attempting to circumvent Airbnb by directly booking guests.
The failure happens at a critical moment for Airbnb. As its stock price has risen further, the firm, which went public in December and quickly topped over $100 billion in valuation, faces high expectations. On Feb. 25, Airbnb expects to announce its first earnings as a public enterprise.
This puts the San Francisco company under pressure to demonstrate a profitable sector, taking a cut in fees when people book properties that host list on their web, even as new coronavirus spikes dampen travel.