Masters in Travel Management 1st sem Unit 3

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    Information Technology for Travel and Tourism Amit Kundu

    Unit 3

    Computer Networking Concepts, Information Systems, CRS for Airlines, Study of

    different packages viz. Amadeus, Galileo, Sabre etc. (anyone package available).

    COMPUTER NETWORK

    The concept of network is not new, in simple terms it means an interconnected set

    of some objects and by computer network we mean an interconnected set of

    autonomous computers. The term autonomous implies that the computers can

    function independent from others.

    A network is simply collection of computers or other hardware devices that are

    connected together, either physically or logically, using special hardware and

    software, to allow them to exchange information and cooperate. Networking is the

    term that describes the processes involved in designing, implementing, upgrading

    and managing a computer network.

    History

    The history of electronic computers is not very old. It came into existence in the

    early

    1950 and during the first two decades of its existence it remained as a centralized

    system housed in a single large room. In those days the computers were large in

    size and

    were operated by trained personnel.After the invention of microprocessors in the early 1970s, the computers became

    smaller in size and less expensive. With significant increase in processing power,

    new breed of low-cost computers known as mini and personal computers were

    introduced. Instead of having a single central computer, an organization could now

    afford to own a number of computers located in different departments and sections.

    The bandwidth was clearly a problem and in the late 1970s and early 80s another

    new communication technique known as Local Area Networks (LANs) evolved, which

    helped computers to communicate at high speed over a small geographical area. In

    later years use of optical fiber and satellite communication allowed high-speed datacommunications over long distances.

    Classification Based on Size

    1) Local Area Network (LAN)

    A network is said to be Local Area Network (LAN) if it is confined relatively to a small

    area. It is generally limited to a building or a geographical area, expanding not more

    than a mile apart to other computers.

    LAN configuration consists of:A file server: Stores all of the software that controls the network, as well as

    the software that can be shared by the computers attached to the network.

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    A workstation: Computers connected to the tile server (Mac or PCs). These

    are less powerful than the file server.

    2) Metropolitan Area Network (MAN)Metropolitan Area Network (MAN) covers larger geographic areas, such as cities(often used by local libraries and government agencies often to connect to citizensand private industries.

    3) Wide Area Network (WAN)Wide Area Network (WANs) connect larger geographic areas such as London, the UK,or the world. In this type of network dedicated transoceanic cabling or satelliteuplinks may he used.

    4) Personal Area Network (PAN)Personal Area Network generally means a very small LAN with range of only a fewfeet. Intended mostly to connect together devices used by a single person or very

    small group. The term is most commonly used in reference to Bluetooth or IEEE802.15 wireless technology.

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    Terminology

    Administrator: The person responsible for a network's operations. Including

    installing network components, providing access to users and troubleshooting.

    Account: A username and password given to each user of a network. Networks

    grant access to files and services based on the rights given to the users account.

    Client: A computer that connects to a network and accesses files, printers, or

    other services offered by a server.

    Server: A computer that offers one or more services to the network and runs a

    NOS.

    Network Operating System (NOS): A piece of software, such as Windows NT

    server or Norell Netware, that enables a computer to act as a network server.

    Workstation: A non-server computer attached to a network.

    Node: Any computer or other device connected to a network. Nodes include

    workstation, servers and devices such as printers.

    Internet: A global network that evolved from the US department of Defense's

    ARPANET project.

    Internetwork: A large network consisting of various small networks connectedtogether by WAN links or faster local links. This type of network is also referred to as

    an internet (not to be confused with Internet).

    Protocol: A set of rules for communication between network components. A

    functioning network requires that all nodes understand the same set of protocols.

    Network Types

    Server-Based Networks: Also called client-server networks, files and printers on

    this computer are made available to network workstations, called clients.

    A server-based network's main benefit is in centralization. The server provides acentral control point for network access, security and management. The

    disadvantages of a server-based network are the higher cost of dedicated servers

    and network OS, and the greater administrative effort required.

    Peer-to-Peer Networks: A peer-to-peer network consists solely of workstations

    called peers. Each workstation can be used by a user and can also make shared files

    or printers available to the users at other workstations. This system is better suited

    to smaller networks. The advantages of peer networks include their ease of

    installation and use. They are also less expensive than server-based networks

    because a dedicated server is not required. The main disadvantage of peer networksis the lack of central control.

    COMMUNICATION METHODS

    Connection-oriented

    Connection-oriented protocols establish a connection, or virtual circuit, before

    communicating and disconnect it when finished. Connection-oriented protocols

    generally have a lower speed due to the bandwidth used for session maintenance.

    1) Twisted pair Cable

    Unshielded Twisted Pair - UTP is the most common type of Network cable

    in use today. UTP consists of one or more pair of insulated copper wires.

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    The wires are twisted together to reduce crosstalk and enclosed in a

    plastic insulator. UTP cables are generally Wired using RJ-45 jacks and

    plugs. These are 8-conductor connectors similar to RJ-11 connectors

    used in telephone cables. UTP is inexpensive and easy to install

    compared With other types of cable. UTP is the type of cable used in

    telephone system.

    Shielded Twisted Pair - STP cable is similar to UTP but includes a foil or

    wire mesh shield between the wire pairs and the outer insulation. The

    shield is electrically grounded, and reduce emissions and susceptibility

    to EMI. STP cable is used in some Token ring and Apple Talk Networks.

    STP is more expensive than UTP, and its thickness and rigidity make it

    more difficult to install. It also uses special grounded connectors, adding

    to the expense.

    2) Coaxial Cable

    Coaxial cable consists of a single thick copper wire surrounded by an insulator. A

    shield surrounding the insulator is used as the second conductor, and is encased in

    an outer insulation. The shielding makes coaxial less susceptible to EMI and

    emissions than UTP. Thin coaxial cable is less expensive than the highest quality (cat

    5) UTP, but is more difficult to install due to its thickness, its lack of flexibility andthe connectors used.

    3) Fiber Optic

    A fiber optic cable consists of thin glass or clear plastic fiber encased in a protective

    jacket signals are sent through the cable in the form of light. There are two types of

    fiber optic cable: Single mode, which uses a single wavelength, and multimode,

    which uses multiple wavelengths in the same cable. The advantages of fiber are high

    bandwidth (up to 2Gbps) and extremely low attenuation.

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    Connection-less

    Connection less protocols does not establish a virtual circuit. Data is sent without

    establishing a connection and may be sent at any time. These protocols have low

    overhead, and are generally used where speed is a high priority.

    1) Infrared: Wireless infrared networking systems use modulated beams of infrared

    light to transmit data. These types of networks require a line-of-sight, and are

    generally used for short distances.

    There are two types of infrared networks

    - Point-to-point networks use a focused beam, usually generated by a laser.

    Bandwidth can be as high as 16 Mbps.

    - Broadcast networks use a less focused beam that disperses rapidly. Bandwidth is

    usually no more than 1 Mbps.

    2) Radio: The most common type of wireless networks use radio waves. Radio-

    based networks have a reasonably high bandwidth, but are very sensitive to EMI and

    eavesdropping. Many radio frequencies are regulated by the FCC, and are

    unavailable for use without a license.

    There are three basic types of radio links:

    Low power single frequency

    High power single frequency

    Spread-spectrum

    3) Microwave: Another type of wireless communication uses microwaves, which are

    similar to radio waves but at a higher frequency. Two common types of microwave

    networks are:

    Terrestrial: This method provides for line-of-sight communications, usually across a

    short distance. Bandwidth can be as high as 10 Mbps.

    Satellite: This method relays microwave transmissions via a satellite, allowing for a

    nearby global range. Bandwidth can, be as high as 10 Mbps.

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    Network Topologies

    A network topology is the configuration, or shape, of the wiring used in the network.

    Each type of network has physical topology (the actual wiring) and a logical topology

    (the path data follows).

    1. Bus: In a bus topology, a single cable supports an entire network segment. This

    cable is the bus, sometimes called a backbone. Nodes are attached at various points

    along the cable. Depending on the network architecture, nodes may be connected

    directly to the bus with T-connectors, or a cable called a drop cable can be

    connected between the bus and each node.

    The bus topology is usually inexpensive for smaller networks. The chief

    disadvantage of a bus topology is that a break at any point in the bus will bring the

    network down.

    2. Star: In a star topology, each node is connected with its own cable to a central

    device called a hub. The hub internally connects each node to the other nodes.

    It is more reliable than bus because each node has its own cable. They are also

    easier to expand, since a new node can be wired to the hub without disconnecting

    other nodes.

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    3. Ring: In a ring topology, the nodes are connected to each other to form a circle.

    Each node receives signals from its upstream neighbor, and passes them onto its

    downstream neighbor.

    The main disadvantage of a ring topology is the same as a bus: a single node's

    failure can disrupt the entire network. Ring networks can also be difficult to

    troubleshoot and expand.4. Mesh: A mesh topology provides fault tolerance through redundant links. In this

    system, each node is connected to every other node with separate cables.

    The main advantage of this system is a high degree of reliability. The obvious

    disadvantage is that mesh topologies require large amounts of cable, making them

    very expensive to install and expand.

    5. Hybrid: A hybrid topology is any combination of the above topologies. One

    common hybrid topology is a star bus, in which several star-wired network segments

    are interconnected with a bus.

    Another hybrid topology is a star ring, in which the wiring forms a star topology, butthe hub is intentionally connected as a ring.

    Project Iridium

    In 1990 Motorola broke new ground by filing an application with the FCC asking for

    permission to launch 77 low-orbit satellites for the Iridium project (element 77 is

    Iridium). The plan was later revised to use only 66 satellites,

    The idea was that as soon as one satellite went out of view. Another would replace

    it. This proposal set off a feeding frenzy among other communication companies. All

    of a sudden, everyone wanted to launch a chain of low-orbiting satellites.After seven years of cobbling together partners and financing, the partners launched

    the Iridium satellites in 1997. Communication service began in December 1998.

    Unfortunately, the commercial demand for large, heavy satellite telephones was

    negligible because the mobile phone network had grown spectacularly since 1990.

    As a consequence, Iridium was not profitable and was forced into bankruptcy in

    August 1999 in one of the most spectacular corporate fiasco in history.

    The satellites and other assets (worth $5 billion) were subsequently purchased by an

    investor for $25 million at a kind of extraterrestrial garage sale. The Iridium service

    was restarted in March 2001.

    Iridium's business was (and is) providing worldwide telecommunication services

    using hand-held devices that communicate directly with the Iridium satellites. It

    provides voice, data, paging, fax, and navigation service everywhere on land, sea

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    and air. Customers include the maritime, aviation, and oil exploration industries, as

    well as people traveling in parts of the world lacking a telecommunications

    infrastructure (e.g., deserts, mountains, jungles, and some Third World countries).

    The Iridium satellites are positioned at an altitude of 750 km, in circular orbits. They

    are arranged in north-south necklaces; with one satellite every degrees of latitude.

    With six satellite necklaces, the entire earth is covered, as suggested by the figure

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    INFORMATION SYSTEMS

    An information system (IS) is any combination of information technology and

    people's activities using that technology to support operations, management, and

    decision-making. In a very broad sense, the term information system is frequently

    used to refer to the interaction between people, algorithmic processes, data and

    technology. In this sense, the term is used to refer not only to the information and

    communication technology (ICT) an organization uses, but also to the way in which

    people interact with this technology in support of business processes.

    A work system is a system in which humans and/or machines perform work using

    resources (including ICT) to produce specific products and/or services for customers.

    An information system is a work system whose activities are devoted to processing

    (capturing, transmitting, storing, retrieving, manipulating and displaying)

    information.

    Information system as an example of a system concerned with the manipulation

    of signs. An information system is a type of socio-technical system. An information

    system is a mediating construct between actions and technology. As such,

    information systems inter-relate with data systems on the one hand and activitysystems on the other. An information system is a form of communication system in

    which data represent and are processed as a form of social memory. An

    information system can also be considered a semi-formal language which

    supports human decision making and action.

    Use of Information System

    Information system is an integrated set of components for collecting, storing,

    processing, and communicating information. Business firms, other organizations,

    and individuals in contemporary society rely on information systems to manage theiroperations, compete in the marketplace, supply services, and augment personal

    lives. For instance, modern corporations rely on computerized information systems

    to process financial accounts and manage human resources; municipal

    governments rely on information systems to provide basic services to its citizens;

    and individuals use information systems to study, shop, bank, and invest.

    Importance of Information System

    The emergence of a global economy, transformation of industrial economies,transformation of the business enterprise, and the emergence of digital firm makeinformation systems essential in business today. Information system is a foundation

    for conducting business today. In many businesses, survival and the ability to

    achieve strategic business goals is difficult without extensive use of information

    technology. There are six reasons or objectives why businesses use information

    system:

    1. Operational excellence. Business improves the efficiency of their operations in

    order to achieve higher profitability. Information systems are important tools

    available to managers for achieving higher levels of efficiency and productivity in

    business operations. A good example is Wal-Mart that uses a Retail Link system,

    which digitally links its suppliers to every one of Wal-Mart's stores. As soon as a

    customer purchase an item, the supplier is monitoring the item , knows to ship a

    replacement to the shelf.

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    2. New products, services, and business models. Information system is a major

    tool for firms to create new products and services, and also an entirely new business

    models. A business model describes how a company produces, delivers, and sells a

    product or service to create wealth.

    Example: Apple Inc transformed an old business model based on its iPod technology

    platform that included iPod, the iTunes music service, and the iPhone.

    3. Customer/supplier intimacy. When a business serves its customers well, the

    customers generally respond by returning and purchasing more. This raises revenue

    and profits. The more a business engages its suppliers, the better the suppliers can

    provide vital inputs, this lowers costs. Example: The Mandarin Oriental in Manhattan

    and other high-end hotels exemplify the use of information systems and technology

    to achieve customer intimacy. They use computers to keep track of guests'

    preferences, such as their preferred room temperature, check-in time, and television

    programs.

    4. Improved decision making. Many managers operate in an information bank,

    never having the right information at the right time to make an informed decision.

    These poor outcomes raise costs and lose customers. Information system made itpossible for the managers to use real time data from the marketplace when making

    decision. Example: Verizon Corporation uses a Web-based digital dashboard to

    provide managers with precise real -time information on customer complaints and

    network performance. Using this information managers can immediately allocate

    repair resources to affected areas, inform customers of repair efforts and restore

    service fast.

    5. Competitive advantage. When firms achieve one or more of these business

    objectives (operational excellence, new products, services, and business models,

    customer/supplier intimacy, and improved decision making) chances are they havealready achieved a competitive advantage. Doing things better than your

    competitors, charging less for superior products, and responding to customers and

    suppliers in real time all add up to higher sales, and higher profits. Example: Toyota

    Production System focuses on organizing work to eliminate waste, making continues

    improvements, TPS is based on what customers have actually ordered.

    6. Day to day survival. Business firms invest in information system and technology

    because they are necessities of doing business. These necessities are driven by

    industry level changes. Example: Citibank introduced the first automatic teller

    machine to attract customers through higher service levels, and its competitorsrushed to provide ATM's to their customers to keep up with Citibank. Providing ATMs

    services to retail banking customers is simply a requirement of being in and

    surviving in the retail banking business. Firms turn to information system and

    technology to provide the capability to respond to these.

    Information systems are the foundation for conducting business today. In many

    industries, survival and even existence without extensive use of IT is inconceivable,

    and IT plays a critical role in increasing productivity. Although information

    technology has become more of a commodity, when coupled with complementary

    changes in organization and management, it can provide the foundation for new

    products, services, and ways of conducting business that provide firms with a

    strategic advantage.

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    Components

    It consists of computers, instructions, stored facts, people and procedures.

    CRS FOR AIRLINES

    Computer Reservations System (CRS) is a computerized system used to store and

    retrieve information and conduct transactions related to air travel. Originally

    designed and operated by airlines, CRSes were later extended for the use of travel

    agencies. Major CRS operations that book and sell tickets for multiple airlines are

    known as global distribution systems (GDS). Airlines have divested most of their

    direct holdings to dedicated GDS companies, who make their systems accessible to

    consumers through Internet gateways. Modern GDSes typically allow users to

    book hotel rooms and rental cars as well as airline tickets.

    History

    In 1953, Trans-Canada Airlines (TCA) started investigating a computer-based system

    with remote terminals, testing one design on the University of Toronto's Manchester

    Mark 1 machine. The resulting system, ReserVec, started operation in 1962, and

    took over all booking operations in January 1963. Terminals were placed in all of

    TCA's ticketing offices, allowing all queries and bookings to complete in about one

    second with no remote operators needed.

    In 1953, American Airlines CEO C. R. Smith chanced to sit next to R. Blair Smith, a

    senior IBM sales representative, on a flight from Los Angeles to New York. C.R.invited Blair to visit their Reservisor system and look for ways that IBM could

    improve the system. Their idea of an automated Airline Reservation System (ARS)

    resulted in a 1959 venture known as the Semi-Automatic Business Research

    Environment (SABRE), launched the following year. By the time the network was

    completed in December 1964, it was the largest civil data processing system in the

    world.

    Other airlines soon established their own systems. Delta Air Lines launched the Delta

    Automated Travel Account System (DATAS) in 1968. United Airlines and Trans World

    Airlines followed in 1971 with the Apollo Reservation System and ProgrammedAirline Reservation System (PARS), respectively. Soon, travel agents began pushing

    for a system that could automate their side of the process by accessing the various

    ARSes directly to make reservations.

    Also in 1976 Videcom international with British Airways, British Caledonian and CCL

    launched Travicom, the world's first multi-access reservations system (wholly based

    on Videcom technology), forming a network providing distribution for initially 2 and

    subsequently 49 subscribing international to thousands of travel agents in the UK. It

    allowed agents and airlines to communicate via a common distribution language and

    network, handling 97% of UK airline business trade bookings by 1987. The system

    went on to be replicated by Videcom in other areas of the World Travicom was a

    trading name for Travel Automation Services Ltd. When BA (who by then owned

    100% of Travel Automation Services Ltd) chose to participate in the development of

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    the Galileo system launched in 1993. Travicom changed its' trading name to

    Galileo UK and a migration process was put in place to move agencies from

    Travicom to Galileo.

    European airlines also began to invest in the field in the 1980s initially by deploying

    their own reservations systems in their homeland, propelled by growth in demand

    for travel as well as technological advances which allowed GDSes to offer ever-

    increasing services and searching power. In 1987, a consortium led by Air

    France and West Germany's Lufthansa developed Amadeus, modeled on System

    One. Amadeus Global Travel Distribution was launched in 1992.

    Name Created by Also used by

    Amadeus Air France

    Iberia

    Lufthansa

    SAS

    Online travel agencies including

    Anyfares

    CheapOair

    ebookersr

    CheapTickets Expedia

    Flights

    Opodor

    Jetabroad

    Tripsetc

    Air-Savings

    Over 500 individual airlines

    Over 120 individual airline websites

    Over 99,000 travel agencies in more than195 countries

    Over 34,000 airline sales offices

    Over 86,000 hotels

    Over 24 Rental Car brands serving 36.000

    locations

    Sabre Aeroflot

    American

    Airlines

    JetBlueAirways

    Midwest

    Airlines

    Frontier

    US Airways

    Westjet

    Volarisr

    Kingfisher

    Airlines

    Travelocity

    Zuji

    Lastminute.com

    Travel Guru Priceline

    Schedules for 800 airlines

    ability to shop and book for over 380

    airlines

    88,000 hotels

    50 rail carriers

    180 tour operators

    13 cruise lines

    24 car rental brands serving 30,000

    locations

    9 limousine vendors providing access to

    more than 33,500 ground service

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    providers

    55,000 travel agencies in over 100

    countries

    Galileo by T

    ravelport (a

    s Apollo

    ReservationSystem 1970

    -early 1990s)

    Aer Lingus

    Sabena

    Alitalia

    BritishAirways - >

    Moved to

    Amadeus

    Swissair

    TAP

    United

    Airlines (using

    their

    subsidiaryCovia)

    KLM (Subsequ

    ently migrated

    to Amadeus as

    part of Air

    France-KLM)

    Olympic

    Airlines

    AustrianAirlines

    Following a merger

    with the Apollo

    System in the USA

    *Air Canada and *US

    Air joined the

    ownership group

    CheapOair

    ebookers

    Flight Centre

    Orbitz

    Worldspan

    by Travelport

    Delta

    Northwest (Northwest Airlines

    merged with

    Delta Airlines

    and is now

    using Delta

    Matic. Both are

    still based on

    the Worldspan

    Reservation

    System)

    TWA (Merged

    with American

    Expedia

    Hotwire Hotels

    Priceline

    Orbitz

    BookIt.com

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    Airlines and

    now is using

    Sabre)

    TravelSky Air China

    China

    Southern

    China Eastern Hainan Airlines

    Online travel agencies including

    Ctrip

    eLong

    mangocity

    Patheo Finnair

    KLM

    Lufthansa - >

    Moved to

    Amadeus

    Online travel agencies including

    Airgorrila

    American Express

    Anyfares

    Flights

    Abacus All Nippon

    Airways

    Cathay Pacific

    Airways

    China Airlines

    Dragonair

    EVA Airways

    Garuda

    Indonesia

    Malaysia

    Airlines

    Philippine

    Airlines

    Royal Brunei

    Airlines

    SABRE

    SilkAirr

    Singapore

    Airlines

    Online travel agencies

    Over 450 individual airlines

    Over 25 countries in Asia Pacific

    Over 80,000 hotels

    KIU Sol Lneas

    Areas

    Aerogalr

    Star Peru

    LC Busre

    Peruvian

    Airlines

    Cielos Andinos

    EasyFly

    LASER Airlines

    Aeropostal LADE - Lneas

    Areas Del

    Over 12 individual airlines

    Over 10 countries in Latin and North

    America

    Travel agencies and wholesale tour

    operators worldwide

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    Estado

    Amaszonas

    Maya Air

    Computer Reservation Systems (CRS) - Airlines have found computer

    reservation systems to be extremely helpful in influencing travel agents'

    recommendations. By monitoring the behavior of individual agents, airlines candesign commissions that will have the optimum impact on their flight

    recommendations. Developing and operating these systems is quite expensive,

    however, and only the largest carriers have been able to market them. At present,

    the seven largest carriers all own at least a share of a CRS. In the 1970s, airlines

    began modifying and enhancing their internal reservation systems to make the sale

    of airline tickets through travel agents more efficient. The CRS gave travel agents

    access to information about flight schedules, fares, and seat availability. It also

    enabled them to make reservations and issue tickets automatically. Although the

    computer reservation systems are owned and operated by particular airlines, an

    agent can use one to get information and make reservations on virtually any

    scheduled carrier.

    Since the systems make both airlines and travel agents more productive, CRS

    owners charge both of them for the use of their systems. Travel agents rent the

    equipment, while airlines pay a booking fee for each flight reservation.

    The influence of computer reservation systems on bookings can be seen in the fact

    that a relatively large proportion of the travel agents in a city where a carrier

    operates a hub use that carrier's CRS. If the systems did not influence the behavior

    of travel agents, there would be little reason for carriers to market them most

    aggressively in cities where they center their operations. Moreover, at present all

    the computer reservation systems are owned and operated by airlines. While the

    airlines have found the systems to be profitable, the systems that were not owned

    by an airline have ceased operating.

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    ------------- SABRE

    Sabre is a computer reservations system / global distribution system (GDS) used

    by airlines, railways, hotels, travel agents and other travel companies. Sabre GDS is

    a unit of Sabre Holdings' Sabre Travel Network division. Current North American

    hosted carriers include Alaska Airlines, American Airlines, WestJet, Cape Air, Frontier

    Airlines, Hawaiian Airlines, JetBlue Airways, Mesa Airlines, and Midwest Airlines. Itscurrent IATA code is 1S. However some internal areas are still under 1W.

    The Sabre datacenter is in Tulsa, Oklahoma and was subject to the Computer

    Assisted Passenger Prescreening System II and is intended to be part of the

    predecor Secure Flight program for the selection of passengers with a risk profile,

    sometime in 2008-10.

    Sabre was developed in order to help American Airlines improve the way in which

    the airline booked reservations. By the 1950s, American Airlines was facing a serious

    challenge in its ability to quickly handle airline reservations in an era that witnessed

    high growth in passenger volumes in the airline industry. Before the introduction ofSabre, the airline's system for booking flights was entirely manual, having developed

    from the techniques originally developed at its Little Rock, Arkansas reservations

    center in the 1920s. In this manual system, a team of eight operators would sort

    through a rotating file with cards for every flight. When a seat was booked, the

    operators would place a mark on the side of the card, and knew visually whether it

    was full. This part of the process was not all that slow, at least when there were not

    that many planes, but the entire end-to-end task of looking for a flight, reserving a

    seat and then writing up the ticket could take up to three hours in some cases, and

    90 minutes on average. The system also had limited room to scale. It was limited toabout eight operators because that was the maximum that could fit around the file,

    so in order to handle more queries the only solution was to add more layers of

    hierarchy to filter down requests into batches.

    American Airlines had already attacked the problem to some degree, and was in the

    process of introducing their new Magnetronic Reservisor, an electromechanical

    computer, in 1952 to replace the card files. This computer consisted of a

    single magnetic drum, each memory location holding the number of seats left on a

    particular flight. Using this system, a large number of operators could look up

    information simultaneously, so the ticket agents could be told over the phone

    whether a seat was available. On the downside, a staff member was still needed at

    each end of the phone line, and actually handling the ticket still took considerable

    effort and filing. Something much more highly automated was needed if AA was

    going to enter the jet age, booking many times more seats.

    In a few years IBM sent a research proposal to AA, suggesting that they really study

    the problem and see if an "electronic brain" could actually help. They set up a team

    consisting of IBM engineers led by John Siegfried and a large number of AA's staff led

    by Malcolm Perry, taken from booking, reservations and ticket sales, calling the

    effort the Semi-Automated Business Research Environment, or SABRE.

    A formal development arrangement was signed in 1957, and the first experimentalsystem went online in 1960, based on two IBM 7090 mainframes in a new data

    center located in Briarcliff. The system was a success. Up until this point it had cost

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    the astonishing sum of $40 million to develop and install (about $350 million in 2000

    dollars). The SABRE system by IBM in the 1960s was specified to process a very

    large number of transactions, such as handling 83,000 daily phone calls. The system

    took over all booking functions in 1964, at which point the name had changed to the

    more familiar SABRE.

    By the 1980s, SABRE offered airline reservations through the CompuServe

    Information Service and GEnier under the Eaasy SABRE brand. This service was

    extended to Amerrica Online in the 1990s. Today the system connects more than

    30,000 travel agents and 3 million consumers with more than 400 airlines, 50 car-

    rental companies, 35,000 hotels and dozens of railways, tour companies, ferries and

    cruise lines.

    One shortcoming of the Sabre reservations system that frustrates some travelers is

    that it only facilitates booking flights within 330 days of the booking date. Therefore,

    travelers who intend to stay in their destination for longer 330 days are unable to

    purchase their return ticket at the same time they buy their departure ticket and are

    forced to buy more expensive one-way tickets for each leg of their travel. Likewise, if

    the return date is to be 330 days after the departure date, round-trip tickets canonly be purchased (at exorbitant rates) on the day of departure, if they are even

    available at such a late date. Most airlines, though, have a program where you can

    book your return within 330 days and change it for a later date free of charge.

    AMEDEUS

    Amadeus is a computer reservations system (or global distribution system, since it

    sells tickets for multiple airlines) owned by the Amadeus IT Group with headquarters

    in Madrid, Spain. The central database is located at Erding, Germany. The

    development center is located at Sophia Antipolis, France. In addition to airlines, theCRS is also used to book train travel, cruises, car rental, ferry reservations,

    and hotel rooms. Amadeus also provides New Generation departure control systems

    to airlines. Amadeus is a member of IATA, OTA and SITA, and its IATA airline

    designator code is 1A.

    Amadeus was formed in 1987 by an alliance between Air France, Lufthansa, Iberia

    Airlines and Scandinavian Airlines System. Today, it is the leader in terms of number

    of bookings worldwide.

    GALILEOGalileo is a computer reservations system (CRS) owned by Travelport. As of 2002, it

    had a 26.4% share of worldwide CRS airline bookings.

    In addition to airline reservations, the Galileo CRS is also used to

    book train travel, cruises, car rental, and hotel rooms. The Galileo system was

    moved from Denver, Colorado to the Worldspan datacenter in Atlanta, Georgia on

    September 28, 2008, following the 2007 merger of Travelport and Worldspan

    (although they now share the same datacenter, they continue to be run as separate

    systems). Galileo is subject to the Capps II and its successor Secure Flight program

    for the selection of passengers with a risk profile. Galileo is a member

    of IATA, OTA and SITA.

    Galileo was founded in 1971 by United Airlines under the name Apollo Reservation

    System. During the 1980s and early 1990s, a significant proportion of airline tickets

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    were sold by travel agents. Flights by the airline owning the reservation system had

    preferential display on the computer screen. Due to the high market penetration of

    the Sabre and Apollo systems, owned by American Airlines and United Airlines,

    respectively, Worldspan and Galileo were created in an attempt to gain market

    share in the computer reservation system market and, by inference, the commercial

    airline market. In response and to prevent possible government intervention, United

    Airlines started computer reservation systems and sought minority partners. Galileo

    International was the product of this reaction.

    The Apollo reservation system is still used by United Airlines and Galileo

    International (now part of Travelport GDS) travel agency customers in the United

    States, Canada, Mexico, and Japan.

    Galileo UK was originally created from Travicom which was worlds first multi-access

    reservations system using the technology developed by Videcom. Travicom was a

    company launched by Videcom, British Airways, British Caledonian and CCL in 1976

    which in 1988 became Galileo UK.