Airbnb—Airbnb's business model contributed to housing shortages and gentrification in major cities worldwide

Airbnb listings diverted housing stock from long-term tenants to short-term rentals, reducing homes available for residents and driving up rent and property prices. In Toronto alone, the platform eliminated approximately 6,500 homes from the housing market according to a Fairbnb report. Critics alleged that in dozens of cities worldwide, the service 'hyper-accelerates affordable housing crises and gentrification patterns that force out residents.' CEO Brian Chesky acknowledged there is 'absolutely merit to the concerns.' Cities including New York, San Francisco, and Los Angeles enacted regulations limiting short-term rentals to protect housing availability.