Expedia Partners with Meta's Muse AI Agent as EXPE Shares Slide 4% on AI Distribution Concerns

Expedia Group announced a partnership with Meta's Muse AI agent, allowing travelers to find and book travel deals directly through the tool, joining PayPal and Shopify among early commerce partners for the platform. Meta launched Muse on September 8, 2026, and the agent has quickly gained traction as a personal AI assistant capable of booking travel, comparing prices and handling tasks on behalf of users. Expedia and PayPal both confirmed the Muse integration on Tuesday, September 23.

Despite the headline partnership, Expedia shares fell roughly 4% in pre-market and regular trading on September 23, underperforming peers, as investors weighed broader concerns that AI-driven distribution and platform automation could erode Expedia's direct customer relationships and reduce its pricing power. The stock was down about 0.5% in pre-market at the time of the partnership announcement and continued sliding through the session, finishing the day behind its competitors according to MarketWatch data.

The Muse tie-up reflects a wider shift in travel and commerce, with AI agents increasingly acting as intermediaries between consumers and service providers. A recent Coresight survey found that 30% of consumers said they would use an AI tool to compare prices for holiday shopping, underscoring the demand driving these integrations. For Expedia, the partnership offers new distribution reach through Meta's ecosystem but also sharpens debate over who ultimately controls the customer relationship when an AI agent handles the booking.