Qantas and Emirates to codeshare in first alliance shakeup of the season; next: Qatar into oneworld

Legacy carrier antagonism towards Middle East network carriers continues to shift to a cautious embrace of their hub forte, with Qantas the latest convert following a partnership including a codeshare agreement with the behemoth of them all - Emirates - that will see Qantas from Apr-2013 shift its European stopover hub from Singapore to Dubai as well as use Dubai for onward connections on Emirates' network primarily to Europe, a market that has been bleeding for Qantas for some time without any sight of profitability. The partnership is an improvement but no silver bullet to Qantas' ails. The approach replicates that of Virgin Australia's partnership with Etihad, one plank in Virgin's successful strategy that has caused Qantas to re-evaluate nearly every aspect of its business.

Yet just two years ago Qantas had the opportunity to have a similar partnership with Etihad but passed to preserve what has proven to be the tail end of its joint services agreement with British Airways, a nearly 20-year-old arrangement that will end on 31-Mar-2013 with little mourning as both carriers realise markets have changed and favour a profitable future over old world accords. That theme will continue for some time as airlines re-align their partnerships, especially as Middle East carriers further join the establishment, which will be cemented with the impending entrance of Qatar Airways into the oneworld alliance.