While this shouldn’t come as much of a surprise given all of the discussion around the topic, Reuters has confirmed that JetBlue and United are entering into a partnership.
United and JetBlue Will Have Greater Connectivity and Frequent Flyer Earnings
Three industry sources confirmed the partnership talks to the news outlet and it appears that there will be a key difference between the failed Northeast Alliance between JetBlue and American that was struck down by the courts in 2023.
This partnership is expected to allow greater connectivity across both airlines and allow United Mileage Plus and JetBlue True Blue members to earn and redeem frequent flyer miles on either airline.
Unlike the Northeast Alliance, it does not appear that the two carriers will be coordinating schedules and pricing. The details of the partnership are still being finalized so some items are still subject to change.
On the surface, this partnership seems better for United than JetBlue, though neither one of them seem to be getting getting much from this. Frequent flyers from both airlines have the most to gain here as JetBlue elites get more access to flights outside of the Eastern United States while United flyers will be able to earn points on flights to Florida and New York’s John F. Kennedy International Airport (JFK).
It is still unclear whether the JetBlue partnership will provide meaningful connectivity with the Star Alliance transatlantic joint venture and, whether United would be eligible to receive any revenue share from joint venture customers connecting from JetBlue flights.
What Happens Next?
Ultimately, this is just the latest in the ongoing dance between JetBlue and United, which dates back to January of this year when rumors that United was interested in purchasing JetBlue began to circulate. This rumor became so widespread that United, as part of an 8-K filing, stated that it had no plans to make any acquisitions of other carriers in the near future.
Rumors swirled again in March when United CEO Scott Kirby stated during an industry panel:
“I would like to have a bigger I’d like to have a presence on the other side of the river at JFK. But man, all the headache, all the brain damage of buying a whole airline to get that, that’s a lot to do. So, yes, really, I think the ball is going to be in JetBlue’s court. in the near future.”
The most recent update occurred earlier today when JetBlue President Marty St. George stated on the airline’s Q1 earnings call that JetBlue was preparing to announce a partnership with a major U.S. carrier. Based on the information available at the time, this was widely expected to be United.
Now, as the speculation turns to confirmation, one has to wonder if this is just the first step towards an expanded partnership in the future. Ultimately, we still don’t know the full details of this partnership but I expect that the two airlines will have an announcement soon, especially considering all of the coverage it is receiving.
Summary
While many people believed that this partnership was inevitable, it has now been confirmed that United and JetBlue are entering into a partnership. While details are still being finalized, it appears that the two carriers will not coordinate schedules and pricing like JetBlue and American did during the Northeast Alliance.
One has to wonder whether this is the first step towards a broader partnership or eventual merger as United is still looking for a way back into JFK and JetBlue continues to struggle financially.