Enterprise

Why Sabre is betting against multi-cloud

Comment

In this photo illustration, Sabre Corporation logo of a travel technology company is seen on a smartphone and a pc screen.
Image Credits: Pavlo Gonchar / SOPA Images/LightRocket / Getty Images

In January, Sabre, the travel technology company that probably managed at least some aspects of your last flight and hotel bookings, announced a 10-year partnership with Google Cloud that would see it spend about $2 billion on Google’s cloud platform over that time. Sabre, like so many companies of its size, has long operated its own data centers, so any shift to the cloud would be a major undertaking. But while the story for a lot of big enterprises is all about being multi-cloud, Sabre is squarely betting on a single partner.

Joe DiFonzo, Sabre’s CIO, told me that this is the result of quite a bit of learning. When he joined Sabre in 2017, the company’s leadership had already decided on moving more workloads to the cloud. For Sabre, with its eight mainframes and more than 35,000 servers, that was never going to be a trivial undertaking.

“There was this whole element of how we operate our software, how we deploy our products, how we deliver service to customers, that was very much still sort of stuck in the traditional models, [including how you] run your own data center and the massive supply chain management issues around that, how we deploy software and package it, this notion of physical machine environments, that sort of thing,” he explained.

Google Cloud lands Lufthansa Group and Sabre as new customers

With buy-in from the leadership, he set to move the company to not only the cloud but also a modern development model. And like so many other companies, Sabre started making deals with a number of cloud providers, mostly because the team wasn’t sure yet who to bet on — or whether to opt for a multi-cloud approach.

“We were able to start making that journey, but we had not done a lot in the cloud before. So, originally, we went on path where we made deals with all the major cloud providers. We were thinking: well, let’s go down the multi-cloud path until we see if there’s something better, because, quite frankly, we didn’t know what we didn’t know and we didn’t want to make the mistake of committing to anybody too early.”

And while the leadership was behind the move, DiFonzo felt like he had to get an early win, in part because the company’s customers also had to be on board. For that, the team picked one of Sabre’s most important and most CPU-intensive services: its shopping application, which previously ran in its own Tulsa, Oklahoma data center. That’s where a lot of revenue for Sabre’s customers is generated, so by being able to show improved performance and stability for this service, the team was able to build up credibility for the rest of its roadmap.

But by mid-2018, the team realized that using multiple clouds became a limiting factor. While all of the different providers offered a plethora of interesting services, being multi-cloud meant the team had to limit itself to the lowest common denominator across the different providers.

“If you didn’t take the least common denominator approach, then you’d have this massive problem of having to train your entire staff on three different sets of architectures, three different groups of databases, three different types of messaging mechanisms, and on and on and on,” DiFonzo said. “So we really came back to, ‘hey, given where the cloud vendors are today — and this is two years from the initial point — do we really have a lack of confidence that any one of them really could fulfill our needs?’”

After an extensive search, the team decided to go with Google Cloud, based on its technology offerings and road map, but also because of Google’s acquisition of ITA, which gave it unique insights into how the travel space operates. Sabre was also interested in Google’s AI technologies, as well as Apigee’s ability to help Sabre manage its APIs — and, as DiFonzo noted, both companies also had similar engineering mindsets.

Even with hindsight, more than two years later and with new multi-cloud tools available like Google’s own Anthos or Microsoft’s Azure Arc, DiFonzo believes he would make the same decision. Indeed, Sabre actually uses parts of Anthos to manage its applications inside of Google’s environment. But maybe most importantly, DiFonzo argues, going with a single vendor allows its engineering teams to focus.

So far, Sabre has trained more than 3,600 employees on Google Cloud (and those employees have consumed over 67,000 hours of learning content on Coursera alone).

At this point, about 15% of Sabre’s mid-range workloads have been migrated to Google’s cloud, including 100% of its Hotel Customer Reservation System and Travel Solutions airfare shopping service.

That may be slower than some expected. A report in The Information earlier this year noted that Sabre had only spent about $10 million on Google Cloud so far. But DiFonzo argues that nobody should be surprised by this, and that the last year was all about laying the foundations, with the move now accelerating. Indeed, he expects that 75% of Sabre’s total compute capacity will be powered by Google Cloud by the end of next year.

“It took the time of training and building all the infrastructure — because our goal isn’t to just move machines immediately, it’s to be more efficient at the end of the day. All of the automation work and all of the planning work that went into this is now helping us move forward faster,” he said. That also means that the team is decomposing old applications into microservices, for example — which itself means that engineering and operations teams have to learn new skills. So it’s not just about containerizing existing applications, but also moving some applications to a serverless architecture using Google Cloud Functions.

“It’s going to take a little bit more work on our part to validate all that — performance and operation and scale, etc. But certainly, that just goes to the next level of how we continue to virtualize away a lot of the routine day-to-day management activities we have to deal with today,” he added.

As for bringing more AI-powered services to its customers, DiFonzo noted that he doesn’t want to have to build all of the infrastructure to do so. Together, Saber and Google are developing a new AI-driven platform to bring more of this technology to Sabre’s product portfolio. Sabre is also in the process of moving 11 petabytes from its core data sets to Google Cloud (with all data migrating by 2023), and it’s about to launch a new market intelligence product that uses BigQuery and Looker to predict travel demand.

“I want to stand on the shoulders of giants,” DiFonzo explained. “They have tens of thousands of engineers figuring out all this cool stuff. And I just want to put it to use as quickly and safely as we can here at Sabre.”

More TechCrunch

Unlike ChatGPT, Claude did not become a new App Store hit.

Anthropic’s Claude sees tepid reception on iOS compared with ChatGPT’s debut

Welcome to Startups Weekly — Haje‘s weekly recap of everything you can’t miss from the world of startups. Sign up here to get it in your inbox every Friday. Look,…

Startups Weekly: Trouble in EV land and Peloton is circling the drain

Scarcely five months after its founding, hard tech startup Layup Parts has landed a $9 million round of financing led by Founders Fund to transform composites manufacturing. Lux Capital and Haystack…

Founders Fund leads financing of composites startup Layup Parts

AI startup Anthropic is changing its policies to allow minors to use its generative AI systems — in certain circumstances, at least.  Announced in a post on the company’s official…

Anthropic now lets kids use its AI tech — within limits

Zeekr’s market hype is noteworthy and may indicate that investors see value in the high-quality, low-price offerings of Chinese automakers.

The buzziest EV IPO of the year is a Chinese automaker

Venture capital has been hit hard by souring macroeconomic conditions over the past few years and it’s not yet clear how the market downturn affected VC fund performance. But recent…

VC fund performance is down sharply — but it may have already hit its lowest point

The person who claims to have 49 million Dell customer records told TechCrunch that he brute-forced an online company portal and scraped customer data, including physical addresses, directly from Dell’s…

Threat actor says he scraped 49M Dell customer addresses before the company found out

The social network has announced an updated version of its app that lets you offer feedback about its algorithmic feed so you can better customize it.

Bluesky now lets you personalize main Discover feed using new controls

Microsoft will launch its own mobile game store in July, the company announced at the Bloomberg Technology Summit on Thursday. Xbox president Sarah Bond shared that the company plans to…

Microsoft is launching its mobile game store in July

Smart ring maker Oura is launching two new features focused on heart health, the company announced on Friday. The first claims to help users get an idea of their cardiovascular…

Oura launches two new heart health features

Keeping up with an industry as fast-moving as AI is a tall order. So until an AI can do it for you, here’s a handy roundup of recent stories in the world…

This Week in AI: OpenAI considers allowing AI porn

Garena is quietly developing new India-themed games even though Free Fire, its biggest title, has still not made a comeback to the country.

Garena is quietly making India-themed games even as Free Fire’s relaunch remains doubtful

The U.S.’ NHTSA has opened a fourth investigation into the Fisker Ocean SUV, spurred by multiple claims of “inadvertent Automatic Emergency Braking.”

Fisker Ocean faces fourth federal safety probe

CoreWeave has formally opened an office in London that will serve as its European headquarters and home to two new data centers.

CoreWeave, a $19B AI compute provider, opens European HQ in London with plans for 2 UK data centers

The Series C funding, which brings its total raise to around $95 million, will go toward mass production of the startup’s inaugural products

AI chip startup DEEPX secures $80M Series C at a $529M valuation 

A dust-up between Evolve Bank & Trust, Mercury and Synapse has led TabaPay to abandon its acquisition plans of troubled banking-as-a-service startup Synapse.

Infighting among fintech players has caused TabaPay to ‘pull out’ from buying bankrupt Synapse

The problem is not the media, but the message.

Apple’s ‘Crush’ ad is disgusting

The Twitter for Android client was “a demo app that Google had created and gave to us,” says Particle co-founder and ex-Twitter employee Sara Beykpour.

Google built some of the first social apps for Android, including Twitter and others

WhatsApp is updating its mobile apps for a fresh and more streamlined look, while also introducing a new “darker dark mode,” the company announced on Thursday. The messaging app says…

WhatsApp’s latest update streamlines navigation and adds a ‘darker dark mode’

Plinky lets you solve the problem of saving and organizing links from anywhere with a focus on simplicity and customization.

Plinky is an app for you to collect and organize links easily

The keynote kicks off at 10 a.m. PT on Tuesday and will offer glimpses into the latest versions of Android, Wear OS and Android TV.

Google I/O 2024: How to watch

For cancer patients, medicines administered in clinical trials can help save or extend lives. But despite thousands of trials in the United States each year, only 3% to 5% of…

Triomics raises $15M Series A to automate cancer clinical trials matching

Welcome back to TechCrunch Mobility — your central hub for news and insights on the future of transportation. Sign up here for free — just click TechCrunch Mobility! Tap, tap.…

Tesla drives Luminar lidar sales and Motional pauses robotaxi plans

The newly announced “Public Content Policy” will now join Reddit’s existing privacy policy and content policy to guide how Reddit’s data is being accessed and used by commercial entities and…

Reddit locks down its public data in new content policy, says use now requires a contract

Eva Ho plans to step away from her position as general partner at Fika Ventures, the Los Angeles-based seed firm she co-founded in 2016. Fika told LPs of Ho’s intention…

Fika Ventures co-founder Eva Ho will step back from the firm after its current fund is deployed

In a post on Werner Vogels’ personal blog, he details Distill, an open-source app he built to transcribe and summarize conference calls.

Amazon’s CTO built a meeting-summarizing app for some reason

Paris-based Mistral AI, a startup working on open source large language models — the building block for generative AI services — has been raising money at a $6 billion valuation,…

Sources: Mistral AI raising at a $6B valuation, SoftBank ‘not in’ but DST is

You can expect plenty of AI, but probably not a lot of hardware.

Google I/O 2024: What to expect

Dating apps and other social friend-finders are being put on notice: Dating app giant Bumble is looking to make more acquisitions.

Bumble says it’s looking to M&A to drive growth

When Class founder Michael Chasen was in college, he and a buddy came up with the idea for Blackboard, an online classroom organizational tool. His original company was acquired for…

Blackboard founder transforms Zoom add-on designed for teachers into business tool