Airbnb was founded in 2008 by Brian Chesky, Joe Gebbia, and Nathan Blecharczyk in San Francisco. The idea started when Chesky and Gebbia rented out air mattresses on their apartment floor to conference attendees who couldn’t find hotel rooms. The name “Airbnb” comes from “air bed and breakfast.”
The company joined Y Combinator in 2009 and grew rapidly, disrupting the hotel industry by letting anyone rent out a spare room, apartment, or entire home. Airbnb went public on Nasdaq in December 2020 at a valuation of $47 billion — despite the pandemic devastating the travel industry that year.
Today, Airbnb has over 7 million active listings across 220+ countries. The platform hosts hundreds of millions of guest arrivals annually. Revenue exceeded $9.9 billion in 2023, with strong profit margins. Unlike many tech companies, Airbnb has been consistently profitable since its IPO.
Airbnb’s business model takes a service fee from both hosts and guests, typically totaling 14-16% of the booking price. The company has expanded into Airbnb Experiences (activities and tours) and recently launched Airbnb-friendly apartments — buildings designed for short-term rentals.
The platform has also dealt with regulatory challenges. Cities including New York, Barcelona, and Paris have imposed restrictions on short-term rentals to protect housing supply. Airbnb has worked with governments to establish regulatory frameworks and collect local taxes.
Headquartered in San Francisco, Airbnb employs around 6,900 people. Chesky remains CEO and has been praised for his design-led leadership and pandemic response, which included rebuilding the company’s product around flexible travel.
