Moderators: richierich, ua900, PanAm_DC10, hOMSaR
debonair wrote:Hi to you all,
reading the latest news, it seems the *A is breaking apart.
First, ADRIA AIRWAYS left on the 2nd of October 2019 the alliance after bankruptcy, SAA is under bankruptcy protection, as well as Avianca Holdings S.A. (Chapter 11). THAI AIRWAYS will follow shortly (according to an article in the Bangkok Post) and the future of Air India isn't much brighter... Other members, like UNITED and Lufthansa Group are only surviving thanks to a state bailout.
So what's the future for *A? Which airlines are in position to fill the void left?
debonair wrote:Other members, like UNITED and Lufthansa Group are only surviving thanks to a state bailout.
MIflyer12 wrote:debonair wrote:Other members, like UNITED and Lufthansa Group are only surviving thanks to a state bailout.
Yes, but they will survive (along with Air India), and have long provided the bulk of destinations and available seat miles. Adria and SAA are so small as to be irrelevant.
Polot wrote:All the alliances are relics anyways, becoming less important as airlines go for more and more JV’s instead. Covid-19 is not going to change that, in fact it will probably accelerate JV formations.
avek00 wrote:Polot wrote:All the alliances are relics anyways, becoming less important as airlines go for more and more JV’s instead. Covid-19 is not going to change that, in fact it will probably accelerate JV formations.
Neither JVs nor alliance memberships are relics. I'll go so far as to say the financial risks of Delta's recent JV strategy will serve as a cautionary tale for the rest of the industry. Global alliances facilitate all sorts of cooperation between airlines at much lower economic and commercial risk, and that is an advantage at a time when capital (read: cash) is king.
Polot wrote:All the alliances are relics anyways, becoming less important as airlines go for more and more JV’s instead. Covid-19 is not going to change that, in fact it will probably accelerate JV formations.
bfitzflyer wrote:I actually think it is possible that COVID might actually end up revitalizing alliances as no one is going to be able to keep the networks they had pre=covid.