Priceline launches next-generation AI travel assistant Penny

Priceline announced the launch of an updated version of Penny, its AI-powered travel assistant that integrates Anthropic's Claude models into the company's proprietary AI technology stack. The enhanced system allows travelers to complete bookings through conversational interactions without navigating multiple browser windows or search filters.

The new Penny can process complex travel requests, such as comparing flights across multiple destinations for specific dates, and present options through an interactive map interface. The system incorporates a preference layer that combines traveler behavior data with stated preferences to customize recommendations based on budget, location, loyalty programs, and trip purpose.

Key features include "Penny's Pick," which highlights top recommendations across hotels, flights, and rental cars, and "Penny's Take," a beta feature for hotels that provides detailed property assessments. The system operates in multiple languages through AI-powered translation and connects to real-time travel inventory from partners in more than 100 countries.

"Our conviction from the start was that the real advantage in AI travel would not come from the model alone, but from connecting it to the context, inventory and deals that make travel bookable," said Sejal Amin, Chief Technology Officer at Priceline.

The technology stack combines Anthropic's Claude models with Google Cloud and OpenAI capabilities, supporting search and voice functions. Priceline operates Penny as a coordinated system of more than 10 specialized agents handling hotel search, recommendations, flights, rental cars, and customer service.

According to the company, early testing showed travelers using Penny demonstrated higher engagement and conversion rates compared to those who did not use the assistant. Priceline estimates that Penny users saved an average of nearly ten minutes per trip compared to those who contacted customer support. A 2026 Evercore ISI analysis found that Priceline Penny delivered the strongest end-to-end booking experience among AI travel tools tested.

Priceline is part of Booking Holdings Inc. (NASDAQ: BKNG). The updated Penny is available at priceline.com/penny.

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