Google Travel - Crash Landing?

Reuters has a story about Google entering the travel search market (actually, Mobissimo noticed this about 10 days ago and SearchEngineWatch posted a piece on October 25th, but the the system seemed to be in limited release). As the Reuters article states, type in Seattle to Chicago and you get a flight window with options to search Expedia, Hotwire, Orbitz, and Priceline. Clicking on the link above the date fields automatically returns Expedia results.
While I applaud Google for adding more vertical search to their result pages - thus providing potentially more relevant results to the user - I’m surprised that searching OTAs (Online Travel Agents) like Expedia is Google’s answer. Obviously these results will be refined over time, and I’m sure we’ll see suppliers added to the mix, but right now, they would have provided a better service to their users by defaulting to the travel search engines (meta search engines like SideStep, Kayak, and Mobissimo) while they work out their own system. On a search for Burbank to New York, Expedia returns $373 as the best price while Kayak (with an Adwords ad on the page) returns flights around $270 with service out of a nearby airport (Ontario or LAX):
This is the default result:

Here’s my $100 savings through clicking on the Kayak Adwords ad:

Google is about providing users with information. OTAs like Expedia are closed systems which are contrary to this mission. Expedia doesn’t search independent providers like JetBlue and therefore doesn’t provide as much information as a travel search engine like Kayak, SideStep, or Mobissimo.
A couple weeks ago, I asked Steve Hafner, CEO of Kayak, what it would take for the travel search engines to get to the next level and Steve answered “when Google, Yahoo! or AOL launches with a meta-search engine, Expedia better watch out.” Unfortunately, I don’t think this is what Steve had in mind. Searching Expedia and Orbitz is taking a step back in travel search, not a step forward.
