American Airlines and JetBlue adjust networks after ending Northeast Alliance

Despite initial approval from the Department of Transportation (DOT) on January 12, 2021, regulatory changes following President Joe Biden’s inauguration led to increased scrutiny. On September 21, 2021, the DOJ filed a civil antitrust complaint alleging that the NEA would diminish competition not only in specific cities but also nationwide.

Throughout this period, both airlines continued to promote the benefits of their partnership. They highlighted expanded routes and new international services from key airports like New York-JFK. However, after legal challenges ended in May 2023 with an unfavorable ruling for both carriers, they were ordered to cease their partnership.

Following these developments, American Airlines expressed interest in reviving its collaboration with JetBlue under changing regulatory conditions but faced resistance. Instead of rekindling ties with American Airlines, JetBlue pursued other partnerships.

On May 29th this year—amidst evolving airline strategies—JetBlue announced a new partnership named 'Blue Sky' with United Airlines. Unlike NEA's comprehensive coordination approach between partners' schedules and pricing structures,' Blue Sky' focuses primarily on frequent flyer benefits without extensive operational integration.

Scott Kirby—the CEO of United Airlines—shared optimism about seeking DOT approval for 'Blue Sky.' He noted that due diligence would be undertaken despite uncertainties regarding whether such authorization is legally required given unique aspects inherent within their agreement framework