Airbnb Signals Big Changes With the Appointment of American Express CEO to Its Board

Airbnb has appointed retiring American Express CEO Kenneth Chenault to its board, signaling major changes for the company, including a potential rollout of a loyalty program and its commitment to an eventual initial public offering. Airbnb CEO Brian Chesky announced Chenault's appointment as part of an open letter in which he conveyed his vision to transform Airbnb into a “21st century company,” including plans to make improvements to its service. That scenario calls for “empower[ing] a host-led world with some substantial improvements to our service that set us up for an infinite time horizon," Chesky wrote. In other words, Airbnb is not an Uber; it sees itself as caring about its community and the people who built its business. With the appointment of outgoing American Express CEO Kenneth Chenault as its first independent director, Airbnb — like Facebook, which also recently appointed Chenault to its board — is making a major statement about its valuation and its willingness to transition into a public company. Chesky also said the company will announce service improvements on February 22, and that in March it intends to release its first-ever stakeholder report. There is speculation that Airbnb could file for an IPO in 2018, depending on market conditions. Recode reported that Airbnb can show "$100 million in cash-flow profitability" for 2017, which wouldn't hurt if it opts to file IPO registration papers in 2018. Here's a closer look at what Chesky’s open letter really means, and what the possibilities of a “host-led world” might be like. The Appointment of Kenneth Chenault In his note, Chesky wrote that “Airbnb is built on trust," and that Chenault enhances that attribute because American Express is "one of the mos