NDC — New Distribution Capability

NDC — New Distribution Capability

NDC is IATA's response to the limitations of legacy GDS distribution. By defining an open XML API standard, IATA enables airlines to communicate directly with travel sellers using the same richness of content available on their own websites.

The Problem NDC Solves

Traditional GDS connections transmit standardised fare and availability data — EDIFACT-based messages developed in the 1980s. This architecture cannot carry seat photos, ancillary bundles, personalised upgrade offers or dynamic pricing. NDC introduces an API layer that can.

NDC Architecture

NDC defines a set of XML schemas and API endpoints: ShopAir (search), OfferPrice, SeatAvailability, OrderCreate (booking), OrderRetrieve and OrderChange. Airlines implement NDC APIs on their PSS or through an aggregator; travel sellers connect via these APIs rather than the GDS.

Certification Levels

IATA certifies NDC implementations at three levels: Level 1 (search), Level 2 (booking), Level 3 (full servicing including changes and cancellations). Airlines and aggregators display their certification level publicly.

Adoption and Challenges

NDC adoption has accelerated since 2019, with major carriers including Lufthansa, British Airways and American Airlines pushing direct NDC connections. However, full parity with GDS functionality — particularly for complex multi-sector and interline itineraries — remains a challenge for many implementations.