Blockchain Trial For Settlement Of Tickets Completed By Airlines Reporting Corp.br>
Airlines Reporting Corp. (ARC), in partnership with blockchain startup Blockskye, has successfully completed a joint blockchain proof of concept (PoC) for settlement of direct ticket sales.
ARC, which is owned by nine major airlines, provides ticket transaction settlement services between airlines and travel agencies (both traditional and online) and the travel management companies that sell their products in the United States. It also provides data information services and analysis based on archived aggregated data.
First announced in August 2018, the joint PoC explored the viability of using blockchain technology to facilitate the reporting and settlement of United Airlines tickets. During the PoC, ARC’s secure system, combined with Blockskye’s blockchain solution, successfully tracked ticket lifecycles from issuance through settlement and identified all transaction modifications through smart contracts.
“This PoC has allowed us to demonstrate the innovative capabilities that blockchain technology enables, but more importantly, to simplify the payment and booking process for the corporate travelers and their employers,” said Jeff Christensen, managing director of distribution and ancillary pricing at United Airlines. “Time-consuming processes such as receipt collection for expense reports can be greatly improved, which will give travelers more time to be productive.”
ARC Vice President and Chief Information Officer Dickie Oliver said that they are actively working to explore blockchain’s potential across all of ARC’s product offerings, especially their settlement system. Following the successful pilot, he said ARC is now looking to offer this capability to other airlines.
“In the case of direct or indirect ticket sales, we believe blockchain has the potential to provide a secure, distributed and immutable transaction record that will improve upon business processes that exist today,” Oliver said.