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US start-up airlines: Moxy and XTRA aim to ignite new competition

Analysis

It has been quite some time since a US start-up airline has successfully achieved longevity. But two aspiring operators are hoping to reverse that trend in a marketplace were consolidation has created a select few airlines with high levels of market concentration.

Those potential new entrants - Moxy and XTRA - are led by high profile industry veterans, who believe there are inherent opportunities to build a network around secondary markets in the US as a result of consolidation in the market.

There is little doubt that the US could use some fresh competition in its aviation sector. But those new competitors face rivals that are arguably far more formidable than they were in the past. And it remains far from certain that Moxy and XTRA can build defensible networks for the long haul.

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