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The Dark Side of Airbnb

Hi, it's Olivia. Ever wondered what happens when an Airbnb turns into a crime scene? I spent the past six months investigating that question, and I discovered that—with millions of stays happening at any given moment—things can sometimes go horribly wrong for guests and hosts of the world's largest hospitality company. Turns out the early investors who rejected the company a decade ago because the business model seemed too dangerous kind of had a point.

To be sure, only 0.1% of stays result in any reported safety incident. Yet, as I write in this week's Bloomberg Businessweek cover story, these rare cases carry disproportionate weight because Airbnb's entire business model is based upon trust. And when that trust is broken, the company's future is put at risk. 

My reporting—based on extensive police and court records, confidential documents, and interviews with more than 50 Airbnb insiders—also brought to light Airbnb's culture of secrecy around violent crimes. The company uses mandatory arbitration, spends tens of millions of dollars in payouts related to legal settlements and property damage, and employs an elite safety team to help victims and, well, prevent PR disasters. Click here to read my story about the dark side of a public company used by people around the world, or listen here. —Olivia Carville

Illustration: Jun Cen for Bloomberg Businessweek

Bloomberg

 

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