Expedia Inc. plans to start testing the integration of HomeAway's vacation rental inventory on its core OTA sites in the current quarter, CEO Dara Khosrowshahi said during the company's earnings call on Thursday.

Expedia acquired Homeaway at the tail end of 2015.

Currently, Expedia.com has a "vacation rentals" tab, but Khosrowshahi said that is not a full integration. Instead, it is simply a link to HomeAway search results.

"What we are talking about is a much more fundamental kind of integrated experience where someone who comes to an Expedia or Hotels.com and is searching for hotels, depending on length of stay, depending on weekday, weekend, etc., they are going to get a complementary mix of hotel search results and/or vacation rental results based on a number of different presentations and logic," he said.

The integrated search will likely be piloted during the fourth quarter, Khosrowshahi said.

Consumers will benefit because the integration will offer them more inventory, and HomeAway will get a boost in bookings, the CEO predicted, especially for properties in cities.

"We think it's a win for the consumer and it's a win for our marketplace, and we're pretty excited about the potential here," he said.

Also on the call, Khosrowshahi addressed an analyst's question about an announcement he said took him by surprise this past quarter -- that Expedia would power Marriott International's air-hotel packaging tool, Vacations by Marriott.

Khosrowshahi said that is an example of Expedia's capability to be a technology provider to the travel industry.

"We think that there are tons and tons of hotels out there, hotel chains out there, airlines out there who ... aren't necessarily able to keep investing and keep experimenting and keep optimizing leading sites that can accept payments in every single kind of payment plan known on earth," he said. "We can do that, and we can essentially extend our platform into the travel ecosystem, which is something that we're doing."

The Marriott partnership likely will not be the last of its kind, Khosrowshahi said.

"We're investing in this area," he said. "You're not done seeing hopefully surprising announcements in the future, because I think our capabilities are going to get much, much better."

In the third quarter of 2016, Expedia reported a 35% year-over-year increase in net income, to $374.1 million, and a 33% revenue increase, to $2.6 billion.

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