Los Angeles Int'l Airport: strong growth drives new investment

Premium Analysis

Los Angeles International airport (LAX) has one of the most diverse operating profiles in the US. All three US major global network airlines describe the airport as a hub, yet none of those operators has more than a 23% share of departing frequencies. Los Angeles is also a key market for other US airlines, including Southwest and Alaska.

American, Delta and United not only use LAX as a hub, but also join other airlines in working to ensure that they capture their fair share of the airport’s O&D traffic, which is the largest in the US.

Although passenger growth at Los Angeles is among the most rapid at US airports, its customer experience has been lagging. The airport authority and airlines are both working to fix the obstacles that create a negative perception of the airport, and numerous projects are under way at the airport as passenger throughput could reach 100 million annually by 2040.  However, although airlines are welcoming the upgrades, charges at LAX will inevitably grow to cover some of the construction costs.

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