Marriott’s Departure from Sonder Underscores Challenges in Technology-Based Hospitality Collaborations

On November 9, 2025, Marriott International Inc. (NASDAQ: MAR) unexpectedly ended its licensing deal with

(NASDAQ: SOND), citing a breach of contract by Sonder. This sudden move left thousands of travelers without accommodations and urgently seeking alternatives, according to a . As a result, more than 9,000 apartment-style listings were removed from Marriott’s reservation systems, including .com and the Marriott Bonvoy app, as detailed in a . The immediate consequences included guests being asked to leave their rentals with minimal warning and others having their bookings canceled, according to . “It’s unimaginable that people would be treated this way,” one affected guest told Bloomberg, expressing the widespread frustration, as referenced in a .

This contract termination caused Marriott to lower its projected net room growth for 2025 to 4.5%, a reduction from its earlier, more ambitious goal, according to the

. The revision reflects the removal of Sonder’s properties, which had been included in Marriott’s portfolio as part of its strategy to expand into alternative lodging, as reported by . Sonder’s failure to meet obligations was attributed to “unexpected integration expenses and a significant drop in revenue” tied to its collaboration with Marriott, ultimately resulting in Sonder filing for Chapter 7 bankruptcy, according to a . Sonder’s CEO pointed to “serious financial limitations” and difficulties in merging technology systems with Marriott as major issues, as outlined in the .

Initially, Marriott promised full refunds to guests who booked through its channels, but later changed course, instructing customers to seek chargebacks from their credit card companies, as reported by

. This policy shift angered many of Marriott’s top-tier loyalty members, such as Platinum Elite and Gold Elite, who accused the company of avoiding responsibility, as described in the . “They told me I’d get a refund automatically,” said Craig Murphy, a Houston guest whose Sonder reservation in New Orleans was canceled before his daughter’s wedding, according to the .

Marriott stated it was working to reduce disruptions and would reach out to guests who booked directly through its platforms, as per the

. However, critics have pointed out inconsistencies in Marriott’s crisis response, as noted in the . “This is a people issue—either Sonder’s real situation wasn’t communicated, or the complexity of the process was underestimated,” said Bruce Rosenberg, COO of HotelPlanner, in the . The incident has also sparked debate about the risks of technology-driven partnerships in hospitality, with some experts suggesting there was too much confidence in integrating short-term rental models, as highlighted in the .

The repercussions go beyond customer service. Sonder’s bankruptcy has eliminated a significant part of Marriott’s expansion plans, though the company remains positive about its main hotel business, according to a

. With international travel rebounding—especially in Europe and North America—Marriott is now focusing on luxury and eco-friendly tourism, as reported by the . Nevertheless, the sudden collapse of the Sonder partnership highlights the instability of the short-term rental sector, where financial troubles can have widespread effects across the industry.