I think the legacy carriers are waking up to the fact that a significant number of their passengers have the option of an LCC on their trips. There has to be a way for the legacy carriers to offer a product on par with the competition.
Another significant point that jetBlue started is the perceived value for the flight. With them, many customers feel that they are getting a great deal on jetBlue because of the fact it is a "cool" airline, and has inflight TV
and other goodies. If you boarded a TED airplane next year and got Krispy Kremes, Chipole burritos and Papa John's for sale I think that would grab a lot of customers attention. Same with live TV
(which I would bet that TED has).
Which of the legacy carriers is responding to the LCC threat to their customers? Only UA
at this point. And when you talk of costs, jetBlue and WN
pilots begin making MORE money than UA
Airbus and 737 drivers after about 80 hours per month. That's how much those pilots gave up.
Measure to the millimeter, mark with a crayon, cut with an axe.