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Will the US DOT give credence to Spirit's criticisms of JetBlue and United's Blue Sky?

Premium Featured Analysis

Perhaps the biggest takeaway from Spirit Airlines' decision to ask US regulators to scrutinise the new "Blue Sky" partnership between JetBlue Airways and United Airlines is that the floundering ultra-low cost airline has nothing to lose by challenging the tie-up.

Spirit uses familiar arguments in its opposition to the partnership, including higher fares, market concentration, and the interline agreement between JetBlue and United masquerading as a codeshare pact.

It is yet to be revealed whether Spirit will prevail in convincing regulators that its arguments warrant action.

JetBlue and United have approached their partnership carefully in the wake of JetBlue and American Airlines being forced to unravel their Northeast Alliance (NEA), and the current presidential administration could be less inclined to play close attention to Blue Sky.

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