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flyenthu
Topic Author
Posts: 590
Joined: Fri Dec 21, 2012 2:37 pm

Why BA And Not US Legacy In AUS

Sun Dec 08, 2013 4:51 pm

Austin, TX is getting its first ever long haul international flight to LHR from 2014. BA is the carrier, which makes me wonder why didn't US legacy airlines like AA or United make the first move.

[Edited 2013-12-08 08:54:29]
 
srbmod
Posts: 15446
Joined: Tue Mar 20, 2001 1:32 pm

RE: Why BA And Not US Legacy In AUS

Sun Dec 08, 2013 5:10 pm

Because LHR is a hub for BA and can offer onward connections there. AUS is not a hub for any US legacy carrier and while there are some non-hub routes to Europe, in some cases, those routes are subsidized by local businesses and governments. AA and UA would prefer routing passengers in AUS through their hubs in the state.
 
Andy33
Posts: 2570
Joined: Tue Sep 15, 2009 9:30 am

RE: Why BA And Not US Legacy In AUS

Sun Dec 08, 2013 5:17 pm

It's always going to be easier for an airline to operate a route if it has a hub at at least one end. Crewing costs rise if either a new crew base has to be established or crews need airline-supplied accommodation at both ends, and mx is simpler to schedule if the plane returns home after each round trip. It's better for aircraft utilisation too.

For the same reason, US based airlines operate services into UK regional airports from their hubs. BA used to, but couldn't make money on the routes.

As BA and AA (and any day now, US) are in a joint venture for transatlantic services and pool the profits, it's in their best interests for the carrier with the lowest costs (and the right equipment) to operate any particular route.
 
DCAYOW
Posts: 548
Joined: Thu Nov 27, 2003 3:24 am

RE: Why BA And Not US Legacy In AUS

Sun Dec 08, 2013 5:20 pm

It is because the US carriers don't have the crew and other infrastructure at AUS to start long haul international trips. It is therefore more efficient for BA to fund crews and long-haul from LHR to AUS. A carrier like AA or UA would have to develop complex trips and maintenance lines to operate international trips from AUS since those functions tend to be at their hubs.
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