Marroitt Hotels Ends Partnership with Airbnb Rival "Sonder" Weeks Before Thanksgiving

Marriott Hotels ended its partnership with Sonder just before Thanksgiving 2025, citing a “default” by Sonder as the primary cause for the abrupt termination. This decision resulted in Sonder properties being removed from Marriott’s booking channels, making it impossible for guests to earn or redeem Marriott Bonvoy points at these locations any longer. However, ongoing severe financial constraints at Sonder, exacerbated by complex and costly integration challenges, led Marriott to terminate the deal effective immediately, a move quickly followed by Sonder's announcement of an immediate wind-down of operations and filing for Chapter 7 liquidation.

Marriott’s licensing agreement with Sonder was initially designed to integrate apartment-style accommodations into the Marriott Bonvoy system, offering guests expanded options through Marriott’s loyalty program. However, in early November 2025, Marriott released a statement confirming the agreement was no longer in effect due to Sonder’s default, without disclosing further specifics. Industry reports suggest Sonder was experiencing financial distress, with declining live bookable units and reports of employee layoffs as it moved toward liquidation. Sonder subsequently announced it would be initiating insolvency proceedings and shutting down operations globally.

Guests with existing reservations at Sonder through Marriott were notified of these developments, with Marriott pledging to support travelers affected by the sudden termination. Those who booked through other travel agents were encouraged to contact their agencies directly. The partnership initially promised growth in Marriott’s apartment-style offerings, but the unexpected end has resulted in Marriott revising its room-growth expectations for 2025 downward to 4.5%.

The ending of the Marriott-Sonder partnership stemmed from Sonder’s default and subsequent insolvency proceedings, which left Marriott with no choice but to sever ties for the protection of its guests and business interests. This move, occurring just before a major travel holiday, underscores how quickly financial troubles can upset even large-scale hospitality agreements. In short, Marriott ended the deal because Sonder defaulted on the agreement, largely due to financial instability and costly integration issues.