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Spirit challenges United-JetBlue alliance over competition concerns

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Spirit challenges United-JetBlue alliance over competition concerns
Policy
Webp joanna
Joanna Geraghty, CEO of JetBlue | JetBlue Airways Website

Spirit Airlines has raised concerns with the US Department of Transportation (DOT) over a proposed partnership between United Airlines and JetBlue. Spirit claims this alliance, known as "Blue Sky," is anti-competitive and could negatively impact other airlines by limiting consumer choices and increasing airfares.

Spirit Airlines described the partnership as making JetBlue a "de facto vassal" of United, allowing customers to book flights through either airline's system and accumulate loyalty points interchangeably. The agreement would enable JetBlue to receive travel services from United, while United would gain access to slots at New York’s John F. Kennedy International Airport (JFK).

Joanna Geraghty, CEO of JetBlue, defended the collaboration in a press release from United Airlines: "This collaboration with United is a bold step forward for the industry — one that brings together two customer-focused airlines to deliver more choices for travelers and value across our networks."

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The Blue Sky deal aims to streamline booking processes across both airlines' networks. Starting in 2027, JetBlue will allocate JFK slots to United for up to seven daily round-trip flights from Terminal 6. Both airlines will maintain their brands but offer mutual benefits through their loyalty programs.

The alliance comes after Congress deregulated the commercial airline sector in 1978, which led to significant changes in pricing and operations within the industry. The DOT's response to Spirit's complaint remains pending.

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