Published: November 9, 2025
Key points
- Marriott International ended its licensing agreement with Sonder, citing a “default” by Sonder; Sonder is no longer affiliated with Marriott Bonvoy and its properties have been removed from Marriott’s channels. [1]
- Marriott now expects 2025 net rooms growth to approach ~4.5%, with no change to other outlook metrics shared last week. [2]
- Marriott says it will contact guests who booked Sonder stays through Marriott to assist with changes; third‑party OTA bookers should contact their agency. [3]
- The Marriott–Sonder tie‑up launched in 2024 and scaled in 2025; BTN reports it was envisioned as a 20‑year deal and included $15 million in “key money.” [4]
What changed today
Marriott International said Sunday that its licensing agreement with Sonder Holdings is “no longer in effect due to Sonder’s default.” Effective immediately, Sonder properties are not available for new bookings on Marriott.com, the Marriott Bonvoy app, or Marriott’s call centers, and Sonder is no longer an affiliated brand within Bonvoy. [5]
In a separate financial update, Marriott trimmed its 2025 net rooms growth guidance to ~4.5% following the removal of Sonder inventory, adding that the rest of the outlook it provided on Nov. 4 remains unchanged. [6]
If you have a Sonder reservation booked through Marriott
Marriott says its “immediate priority” is supporting guests currently staying at Sonder properties and those with upcoming reservations made via Marriott channels. The company will reach out to impacted guests to help with modifications, alternative accommodations, or refunds as needed. Travelers who booked a Sonder stay through an online travel agency (e.g., Expedia) should contact that provider directly. [7]
What Bonvoy members need to know
Because Sonder is no longer in the program, you can’t newly earn or redeem Marriott Bonvoy points on Sonder stays. The Points Guy notes that one traveler’s points and night credits from a pre‑termination stay posted normally, but that’s anecdotal; members with in‑progress or imminent reservations should follow Marriott’s guidance and confirm how their specific booking will be handled. [8]
How we got here: a short partnership with big ambitions
The Marriott–Sonder arrangement was announced in 2024 and ramped through 2025 to make apartment‑style Sonder units bookable in Marriott channels. BTN reports the license was expected to run for 20 years (with five‑year termination options), came with undisclosed royalties, and included $15 million in “key money.” BTN also reports the full Sonder inventory appeared in Marriott channels by June 2025. [9]
Reuters previously reported the pact bolstered Sonder’s liquidity by $146 million and envisioned more than 9,000 units joining Marriott’s system, underscoring how material the distribution could have been for both sides. [10]
What “default” might mean (and what we don’t know)
Neither company has publicly detailed which clause was breached. However, Sonder’s Aug. 5, 2025 SEC filing describes events of default under a loan agreement with Marriott, including missed payments, cross‑defaults and a requirement to raise at least $32.5 million in new capital by Nov. 15, 2025. Today’s announcements do not specify whether any of those provisions triggered the termination. [11]
Industry and investor context
Reuters notes Sonder has faced severe financial pressure since going public, with its market value collapsing from a multi‑billion‑dollar SPAC‑era figure to the single‑digit millions. The end of the Marriott tie‑up removes a prominent distribution channel as Sonder negotiates with creditors and landlords to stabilize its business. Marriott, for its part, signaled limited impact beyond the slight rooms‑growth revision. [12]
What travelers should do next
- Booked via Marriott? Monitor your email/phone for outreach from Marriott and be ready to accept rebooking or refund options. You can also proactively contact Marriott customer service if you need immediate assistance. [13]
- Booked via an OTA? Contact the OTA (e.g., Expedia, Hotels.com) directly to adjust or rebook. [14]
- Booked directly with Sonder? Review your confirmation and cancellation terms and reach out to Sonder support; policies may differ from Marriott’s. (General consumer guidance.)
- Using points? New redemptions at Sonder are no longer possible; for existing points bookings routed through Marriott, confirm your options with Marriott support. [15]
The bottom line
Marriott has abruptly unwound its high‑profile Sonder partnership, citing a Sonder default and pulling Sonder inventory from Bonvoy. Guests with Marriott‑channel reservations will receive direct support from Marriott, while the chain expects only a modest rooms‑growth impact this year. The specific cause of the default remains undisclosed; watch for subsequent filings or statements from Sonder for clarity. [16]
Sources: Reuters; Marriott press statements; The Points Guy; Business Travel News; Upgraded Points. [17]
References
1. www.reuters.com, 2. www.prnewswire.com, 3. www.prnewswire.com, 4. www.businesstravelnews.com, 5. www.reuters.com, 6. www.prnewswire.com, 7. www.prnewswire.com, 8. thepointsguy.com, 9. www.businesstravelnews.com, 10. www.reuters.com, 11. www.sec.gov, 12. www.reuters.com, 13. www.prnewswire.com, 14. www.prnewswire.com, 15. www.prnewswire.com, 16. www.prnewswire.com, 17. www.reuters.com
