After nearly three years, JetBlue and American are being ordered to end their codeshare partnership by the federal court.
The strategic relationship gave travelers in the Northeast mutual access to earning and redeeming miles and also expanded both of their route networks. It was ruled that the relationship is anti-competitive and needs to be dissolved within 30 days.
The decision doesn’t bode well for JetBlue’s other merger. The Department of Justice is also suing them in an attempt to block their partnership with Spirit Airlines.
How will this affect travelers?
The court argues that blocking these partnerships will keep prices competitive for customers because the airlines could coordinate fares and drive up prices. On the other hand, the airlines involved say that the mergers helped travelers open up more booking options for travelers because they could earn rewards more easily across airlines.
Either way, the timing of the decision isn’t optimal. Undoing the partnership just ahead of the peak summer travel season could be messy for airlines and flyers alike.
by travelers, for travelers.
