Keesup Choe is the founder and CEO of AI data platform PredictX. Choe won BTN's 2025 Business Travel Innovation Faceoff in Europe for PredictX's AI agent platform Cogent.
In an industry drowning in
three-letter acronyms, a new one has arrived: MCP, or Model Context Protocol.
Travel suppliers and intermediaries have been scrambling to release MCP servers
while travel managers are wondering 'what does this mean for me?'
Model Context Protocol has
incredible promise, but it also has a flaw: poorly designed servers that
trigger a hidden performance killer known as 'context rot.' As with all
emerging technology, distinguishing the functional from the fluff is critical.
The 'USB-C' of
Artificial Intelligence
Remember the nightmare of
charging your electronics 15 years ago? Every phone, camera, and laptop
required a unique, proprietary cable.
Until recently, connecting
an AI agent to corporate travel systems was exactly like that. MCP changes
everything.
Popularized as an open
standard, it acts as the USB-C cable for AI. A travel supplier can package
their data and tools so that any modern Large Language Model—whether built by
Google, Anthropic, or OpenAI—can instantly plug in and understand how to use
it.
Suddenly, the dream of a
seamless AI travel agent that can check a flight, verify a corporate rate, log
an expense and check a safety alert in seconds seems within reach.
It’s Not Just a
Protocol, It’s a 'Server'
Let's clear up a massive
technical misconception. In marketing pitches, tech partners will throw around 'MCP'
as if it is just a set of rules and standards—a 'protocol' like NDC or QR
codes. But in the real world, you don't just 'connect' to a protocol. You
connect to an MCP server.
The word 'server' is the
most important part of this name because an MCP server is not just a passive
rulebook; it is an active compute resource. To use another analogy: A protocol
is a blueprint for a car; the server is the actual, physical engine.
An MCP server is a piece of
software running on a computer somewhere. It doesn't just sit there; it has to
do heavy lifting. It runs code, translates complex database queries on the fly,
and actively executes commands. Because it is active infrastructure, it
requires hosting, maintenance and security.
And because it is a physical
compute resource, it can experience physical failures. It can suffer from
latency, run into connection timeouts, crash under heavy search loads or even
become a single point of failure for hackers looking to exploit multiple
customer API keys.
When a travel supplier says
they have built an MCP, they haven't just written a document—they have spun up
live, active digital machinery that your AI agent now relies on to survive.
The High Stakes
of Corporate Travel
In our industry,
"seamless" isn't enough. It has to be flawless. If a retail AI
assistant recommends the wrong shoes, the customer processes a return. If a
corporate travel AI assistant makes an error, a business traveler can miss a
multi-million-dollar merger meeting.
Worse, if an AI lags or
misinterprets data during a geopolitical crisis or a severe weather event, a
company fails its fundamental legal and moral duty of care to its employees.
For booking and safety,
accuracy and timeliness are non-negotiable prerequisites. And that is exactly
where poorly engineered MCP servers pose a silent, catastrophic threat.
The Hidden Trap:
Memory and 'Context Rot'
To
understand why these integrations can fail, you need to look at how an AI
'thinks,' using two simple concepts: tokens and context windows.
Tokens are the basic
syllables or building blocks of text that an AI reads. The context window,
meanwhile, is the AI’s short-term working memory. Picture it as a physical
desk. When you ask an AI a question, it lays out all the relevant information
on this desk to formulate an answer.
Tech companies love to brag
about the massive size of their digital desks (their context windows). But here
is the catch: AIs suffer from a practical memory limit of about 50 percent to
60 percent before their reasoning starts to break down.
If you clutter the desk with
too much paperwork, the AI experiences 'context rot.' Its attention becomes
diluted. The crucial instruction you gave it—like 'Book the negotiated
corporate rate only'—becomes a needle in a massive haystack of data.
When context rot sets in,
the AI becomes sluggish and highly expensive to run. It suffers from the 'lost
in the middle' effect, completely missing vital details right in front of it.
Ultimately, it begins to hallucinate—inventing non-existent flights, picking
the wrong hotels, or failing to execute the task entirely.
How Bad Servers
Cause the Rot
How does an MCP server
trigger this disaster? Through lazy engineering.
Many technology providers
build 'thin wrappers.' Instead of building a highly sophisticated, streamlined
tool, they take their massive, messy raw databases and dump the entire
technical dictionary into the MCP server.
When your AI agent connects
to one of these unoptimized servers, the server forces the AI to read its entire
instruction manual upfront, before the user even asks a question.
The math is alarming. A
single unoptimized MCP server can instantly devour 10,000 to 17,000+ tokens
just explaining what its tools do.
A travel program that
connects just three of these lazy servers—say, one for flight bookings, one for
hotel inventory, and one for traveler tracking—can naively waste 143,000
tokens.
That
means 72 percent of the AI's working memory is completely filled with
structural jargon before your employee even types: "I need to go to
Chicago tomorrow."
In stress tests, when an AI
is overwhelmed by this kind of tool clutter, its accuracy in selecting the
right tool drops to a horrifying 13.62 percent. In a corporate travel setting,
an overwhelmed AI could easily confuse a "routine weather lookup
tool" with a "critical emergency broadcast tool," failing to
alert a traveler to danger because its memory desk was buried in junk data.
Treat Version
1.0 With Caution
Travel managers should be
thinking "so how do you protect your program from this?" But the brutal
truth is that an MCP server is incredibly difficult to evaluate without
hands-on, live testing.
Anyone will know the exact moment
you connect your AI to a badly written server: your system will suddenly lag,
costs will spike, and the AI will start giving bizarre, sluggish responses. The
problem, of course, is that by the time a buyer plugs it in and see sit fail,
it is already too late. The contract is signed, the budget is spent, and your
system is compromised.
Buyers and suppliers alike
should be conscious that, like traditional enterprise software, version 1.0
could well be a bloated, unoptimized minefield. It takes years of real-world
mistakes, architectural rewrites, and rigorous performance tuning to build an
efficient server that doesn't cause context rot.
Before signing on the dotted
line, buyers should hand their prospective vendor this three-question technical
audit:
- Is your MCP server a
'thin wrapper' that exposes hundreds of low-level database endpoints, or has it
been distilled into high-level, intelligent tools?
-
What is the baseline
token footprint required just to load your tool schemas into our LLM? Will it
eat 10 percent of our memory, or 70 percent?
-
Does your architecture support selective tool activation, or
does it dump your entire system vocabulary into our AI's active memory all at
once?
The Bottom Line
The Model
Context Protocol is an incredible milestone that will undoubtedly shape the
future of corporate travel automation. But treating it as a magic bullet is a
recipe for operational failure.
Corporate travel leaders
must pivot from simply asking, "Can our AI connect to this vendor's
data?" to asking, "How efficiently is that connection
engineered?" Meanwhile, marketers should refrain from hyping up immature
releases.
In an industry where
traveler safety and bottom-line accuracy are non-negotiable priorities, keeping
your AI’s digital workspace clean isn’t just a tech issue—it’s a business
imperative.