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How the Jetblue, Spirit merger will impact fliers

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The chief executives of budget airlines JetBlue and Spirit say their deal will drive down fares for the big four air carriers that dominate the industry. However, one expert says the opposite.

in a joint announcement Thursday that the deal will drive down fares for all four major U.S. airlines that dominate the industry: American Airlines, Delta, Southwest and United.

Although the number of seats available for travel will unlikely change much, "the strategy around how to price those seats would change," Corridore said. Corridore also doesn't expect regulators to block the deal either because of the number of remaining competitors and the small market share of the combined airlines.

When combined, JetBlue and Spirit would only have a 12% market share as measured by Similarweb data on web traffic. The New York-based airline still lags behind Southwest, American, Delta and United, all of which have a higher share of web traffic, Corridore said. said the deal allows JetBlue to bring low fares and exceptional service to even more customers on more routes.

 

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