"I just don't see it swallowing up the whole Hotel industry."

I've been out of the travel/hotel game for about 4 years now, but I worked in it on and off from ~'97 through to '07.

It's an industry ripe for a new player to do a Paypal style end run around the traditional banking/creditcard industry.

I don't know whether Airbnb are that player (I'm 100% sure pg and Fred are _much_ better judges of that then I am), but I'm also at least 99% sure that it _won't_ be any of the existing big players (Sabre, Gallileo, Pegasus, MyFideleo, Worldres were the large players I worked with) that revolutionise the hotel booking business.