July 10, 2025

Who Wants to Join an Airline Alliance?

31 minutes

In this episode of the Airline Weekly Lounge, hosts Gordon Smith and Jay Shabat discuss the latest developments in the One World Alliance, including the recent addition of Oman Air as its 15th member. They explore the implications of this expansion, the challenges of airline alliances in covering global markets, and the potential for future memberships, particularly in regions like India and Latin America. The conversation also touches on the dynamics of airline partnerships, the role of IATA in the industry, and the current state of air traffic demand globally.

Takeaways

Oman Air has joined the One World Alliance as its 15th member.

The One World Alliance aims to strengthen its presence in the Middle East.

There is a debate on the depth versus breadth of airline alliances.

One World lacks representation in Sub-Saharan Africa and South America.

Indigo Airlines is not prioritizing alliance membership currently.

Hawaiian Airlines is expected to join One World by 2026.

Airline alliances primarily benefit loyal customers by providing access to global networks.

Southwest Airlines has joined IATA but remains independent from alliances.

The airline industry is experiencing robust growth post-COVID.

The domestic US market is currently shrinking, contrasting with global growth.

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