Generative Artificial Intelligence (Gen AI) remains a central focus for the travel technology sector looking ahead to 2025, but challenges are emerging as initial optimism begins to dissipate.

According to a report released by travel technology firm Amadeus, titled Navigating the Future: How Generative Artificial Intelligence is transforming the travel industry, generative AI is a top priority with budget and resources on the agenda.

The report says that among the over 300 industry leaders questioned, generative AI was cited as a ‘top priority’ for the coming year by 46 pc ahead of any other technology. 

Amadeus survey says that this figure rose to 61 pc in Asia Pacific, suggesting the region may be ready to take the lead in this transformative technology.

The firm says that other technologies cited as a top priority for 2025 included data management for 38 pc surveyed, cloud architecture for 36 pc, non-generative AI IT infrastructure for 34 pc and biometric technology for 23 pc.

The survey says that globally, over half or 51 pc of travel technology leaders argue Generative AI already has a ‘significant presence’ in the travel industry in their country. 

A further 36 pc expect this presence to emerge over the next year, while 11 pc expect the process to take one-to-two years. 

The survey says that just about 2 pc of travel technology leaders think it will take three or more years for generative AI to have a significant presence on the travel sector where they are.

According to the report, 41 pc of travel companies say their organisation has the budget and resources in place to implement generative AI, while 87 pc are open to working with a third-party vendor to develop generative AI-powered applications.

Data, talent & cost seen as challenges in deployment of generative AI

The report says that 33 pc of surveyed stakeholders cite data quality and inadequate technological infrastructure challenges

While support for the roll-out of generative AI in the travel technology sector remains undimmed, navigating the future finds a number of challenges are emerging, says the report.

When asked what, if anything, was slowing the roll-out of the technology, a majority of industry leaders, or 35 pc, say data security while 34 pc address lack of generative AI expertise and training.

The report says that 33 pc of surveyed stakeholders cite data quality and inadequate technological infrastructure challenges, while 30 pc say return on investment (ROI) concerns, lack of use cases, or difficulty in estimating value and 29 pc say it it difficult connecting with partners or vendors.

The report says that generative AI specialists today are grappling to recruit experts and train existing workforces to bridge a skills gap while working to secure data and convince senior leaders of the value of generative AI investments.

The report adds that while the process of experimentation continues with the deployment of generative AI, several use cases have emerged in the travel technology sector.

It says that these are led by digital assistance for travellers during booking for 53 pc surveyed and followed by recommendations for activities or venues for 48 pc, content generation for 47 pc, helping staff to better serve customers for 45 pc and collecting and condensing post-travel feedback for 45 pc.

What does successful deployment of generative AI look like?

The report adds that the process of experimentation continues with the deployment of generative AI

Navigating the Future respondents were looking for, in ranked order, return on investment, customer satisfaction, efficiency and productivity improvements, performance metrics in terms of accuracy, precision and relevance and increases in key performance indicators.

Sylvain Roy

“At Amadeus, we work to make the experience of travel better for everyone, everywhere and there is perhaps no better example of this mission coming to life right now than through the deployment of generative AI,” says Sylvain Roy, Chief Technology Officer, Amadeus.

“This is a technology that has the potential to transform every facet of what we do across the travel ecosystem, significantly enhancing the passenger experience at every step of the journey,” Roy adds.

“While technology will be a key focus for the next year, questions are rightly being asked whether Generative AI will deliver sufficient returns on investment, while talent shortages are also coming under the spotlight. It is crucial that we use this new technology responsibly, ensuring data security, privacy, and content reliability. It is time for Generative AI to prove it can live up to the hype,” he adds.

Amadeus says it commissioned Mercury Analytics, a market research organisation to study the role, both current and future, of generative AI in the travel sector.

The statement adds that a total of 306 senior technology decisionmakers within the travel industry with knowledge of generative AI were questioned in the third quarter of 2024.

They were based in ten markets: Canada, Italy, the United Kingdom, France, Germany, India, Australia, China, Japan and the United States.